Audi to Cut Up to 9,500 Jobs by 2025
November 26 2019 - 8:24AM
Dow Jones News
By Pietro Lombardi
Audi AG (NSU.XE) has reach an agreement with its works council
to cut up to 9,500 jobs by 2025.
Volkswagen AG's (VOW.XE) luxury-car maker said Tuesday that this
will happen through employee turnover and early retirements.
"An equivalent percentage staff reduction will take place in
management," it said.
The workforce reduction is part of an agreement reached with
employee representatives that is expected to have a positive effect
on earnings of roughly 6 billion euros ($6.6 billion) by 2029.
"The decisions relate in particular to the optimization of
production capacities at the two German plants and socially
responsible workforce adjustments while extending job guarantee up
to the end of 2029," it said.
The company excludes terminations for operational reasons until
the end of 2029. It also plans to create up to 2,000 new positions
in areas like electric mobility and digitization, for which
internal candidates will have priority.
The plans "will increase productivity and sustainably strengthen
the competitiveness of our German plants," Chief Executive Bram
Schot said.
Write to Pietro Lombardi at pietro.lombardi@dowjones.com
(END) Dow Jones Newswires
November 26, 2019 08:09 ET (13:09 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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