Volkswagen is reportedly considering a worldwide reduction of up to 100,000 jobs as the German automotive giant prepares a major restructuring effort, according to a report by Manager Magazin. The potential cuts would represent a significant expansion of previous reduction targets and could affect operations across the company’s global workforce.
The report, citing company insiders, said it remains unclear how the figure was calculated. One source told Manager Magazin that the central planning document intentionally does not include a specific number of job reductions. Volkswagen currently employs around 657,000 people worldwide.
According to the report, the possible workforce reduction would double the company’s previous target. In Germany, the restructuring plan could involve the closure of four production sites in the medium term, including Volkswagen plants in Hannover, Zwickau, and Emden, as well as the Audi facility in Neckarsulm.
The reported plan would see production at those locations end as the vehicle models currently manufactured there reach the end of their production cycles. The positions of employee representatives and the state of Lower Saxony, which holds seats on Volkswagen’s supervisory board, have not yet been made public.
A Volkswagen spokesperson said the company does not comment on internal and confidential documents. The spokesperson added that the relevant issues would be discussed and decided by the appropriate corporate bodies. The company’s executive board has spent recent months developing a plan for the future structure of the business, which is scheduled to be discussed by the supervisory board on July 9.
“The entire automotive industry and the Volkswagen Group are undergoing a profound transformation,” the spokesperson said, describing the broader challenges facing the company and the sector.
In addition to potential job reductions, the reported restructuring includes changes to Volkswagen’s corporate organization. According to Manager Magazin, the company’s core Volkswagen brand and its components subsidiary could be separated from the wider group structure and placed into independent companies. The move could make it easier for individual businesses to be offered on capital markets in the future.
The possible restructuring comes as Volkswagen faces pressure to make significant changes to its business model. Volkswagen Chief Financial Officer Arno Antlitz highlighted the need for adjustments when presenting the company’s first-quarter 2026 results.
“We have to fundamentally change our business model and achieve structural, sustainable improvements,” Antlitz said at the time. The company reported that its profit had fallen by a quarter at the beginning of the year.
The automotive industry is undergoing major changes as manufacturers adjust their operations and strategies, and Volkswagen’s leadership has pointed to the need for long-term structural improvements. The company’s upcoming supervisory board meeting will determine the next steps regarding the proposed restructuring plan and its potential impact on employees, factories, and the organization of the group.
