One of the world’s largest automobile manufacturers, headquartered in Germany Volkswagenwill close three different factories in Germany, according to Reuters.
In the past months Volkswagen, which made a major layoff with the aim of saving money, He could not achieve the effect he expected with this step. The company fell 3 billion euros short of its savings targets. That’s why he started making plans to close factories based in Germany. There were multiple reasons behind this, such as increased expenses, the slowdown of the US market, and low income from electric vehicles. The brand also has problems competing with vehicles from Chinese manufacturers with high price-performance ratio.had come to the fore with the news that it might close one of its factories in Zwickau, Dresden or Kassel in the coming months in order to keep the damage under control. It was reported that more than 26 thousand people were employed in the factories in Kassel, Dresden and Zwickau. In addition, the company It was also claimed that he was planning to lay off 30 thousand people in Germany.
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The company, which wants to reduce personnel in the R&D departments as well as closing the factory, is planning huge steps to reverse the bad trend and These include limiting bonuses for senior employees. And It also includes reducing additional payments for employees’ anniversaries.. The brand, whose possibility of closing some of its production facilities has come to the fore again, is It was aiming for a savings of 4 billion euros. Reuters According to the news shared by Volkswagen’s works council president, Daniela Cavallo, made a sad confirmation about these developments. Making a statement, Cavallo stated that the company plans to close at least three factories in Germany, lay off tens of thousands of employees and downsize its remaining facilities in Germany. Cavallo says the brand is planning a deeper overhaul than expected and management is absolutely serious about it. stated.