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Germany crisis: Car blow as 50,000 jobs at risk in ‘biggest crisis since invention of car’

Volkswagen chief executive Herbert Diess warned “the auto industry is in the middle of a far-reaching upheaval”, and followed another announcement from VW in the spring, where it said 7,000 jobs would be axed with the savings to be pumped back into electric cars.

US car giant Ford is planning to axe 5,000 positions in Germany as part of wider restructuring plans, while parts suppliers Continental and Bosch are aiming to cut more than 7,000 roles between them.

It is estimated the German car industry, which directly employs more than 830,000 people and supports a further two million in the wider economy, will be forced to pump around £34billion into battery-powered technologies over the next three years.

Ralf Kalmbach at consultancy Bain Co, who has spent 32 years advising German carmakers, told the Financial Times: “No one will survive in the form they exist today.”

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