Audi to slash its workforce by 10% as the German manufacturer of luxury cars plans to raise funds for its electric vehicle production push
Audi agreed to extend an employment guarantee which rules out forced layoffs for its workforce until the end of 2029, something which had been a sticking point in discussions between management and labor representatives.
“We have reached an important milestone: The jobs of our core workforce are secure,” said Peter Mosch, chairman of the general works council of Audi. “The extension of the employment guarantee is a great success in difficult times.”The agreement between management and workers sees annual production capacity at Audi’s German plants in Ingolstadt and Neckarsulm at 450,000 and 225,000 respectively.
Audi said a fund would be set up at the Neckarsulm site to fund the shift toward electric vehicles and would be worth 300 million euros by 2025. “In times of upheaval, we are making Audi more agile and more efficient,” Audi CEO Bram Schot said. “This will increase productivity and sustainably strengthen the competitiveness of our German plants.”
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