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Volkswagen to cut up to 7,000 jobs for 5.9 billion euros annual savings goal

Volkswagen has ruled out compulsory layoffs until 2025, but early retirement will help the Wolfsburg, Germany-based carmaker to reduce its workforce between 5,000 and 7,000 positions.

March 13, 2019 / 12:50 PM IST

Volkswagen on March 13 said it will shrink its workforce by up to 7,000 staff, raise productivity and eke out 5.9 billion euros worth of annual savings at its core Volkswagen brand by 2023 in a bid to raise Volkswagen's operating margin to 6 percent.

Volkswagen has ruled out compulsory layoffs until 2025, but early retirement will help the Wolfsburg, Germany-based carmaker to reduce its workforce between 5,000 and 7,000 positions, the carmaker said.

"The measures from the earnings improvement programme will enable our brand to achieve a competitive return level of six percent in 2022," Arno Antlitz, Volkswagen brand's board member for controlling, said in a statement.
Reuters
first published: Mar 13, 2019 12:46 pm

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