Korean media: "What's wrong with German cars?" After Volkswagen and Mercedes-Benz, BMW is also beginning layoffs!
On August 30, South Korea's daily newspaper *The Korea Economic Daily* published an article stating that Germany's core automotive industry is deep in crisis. Due to weak sales in the Chinese market, U.S. tariff hikes, and ongoing repercussions from the Middle East conflict, major automakers are all implementing workforce reductions.
Recently, BMW announced plans to cut 8,000 jobs globally. The company intends to reduce its workforce in Germany through natural attrition—including employee retirements—and a voluntary retirement program running from October this year until the end of next year. The layoffs will primarily target management and research & development positions, excluding production departments.
BMW's headquarters is located in Munich, Germany, with a global workforce of 154,000 employees, around 84,000 of whom work in Germany.
Previously, companies such as Volkswagen, Mercedes-Benz, Audi, and Porsche have all announced large-scale restructuring and job-cutting plans.
Volkswagen has announced a potential massive reorganization plan, which includes cutting up to 100,000 jobs and closing four factories in Germany—provoking strong opposition from workers.
Compared to its competitors, BMW’s management has been considered relatively stable; however, due to continued weakness in the Chinese market, the company has lowered its profit forecast for this year.
According to Reuters, BMW CEO Milan Nedeljković emphasized at an employee meeting held in Munich: “The rules of the automotive industry have fundamentally changed, and so has the foundation supporting BMW’s business model.” He added that difficult times lie ahead, and layoffs are crucial for improving profitability.
Original source: toutiao.com/article/1874914082170896/
Disclaimer: This article represents the personal views of the author.