Porsche to cut 1,900 jobs by 2029 due to falling demand for electric cars
Volkswagen Group is having a tough time, and even Porsche is having to tighten its belts. A spokesperson for the company confirmed to Reuters information about cutting an additional 1,900 jobs by 2029 due to falling demand for electric cars.
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This is not the first round of layoffs: last year, the company did not renew the contracts of 1,500 fixed-term workers, and another 500 places will be eliminated in the near future. However, as it turns out, these measures are not enough.
According to Bild, Porsche plans to avoid forced layoffs - the cuts will come through early retirement and limiting vacancies. The Stuttgart-Zuffenhausen plants and the research centre in Weissach (Baden-Württemberg) will be hit hardest
Porsche sold 311,000 cars in 2023 - down 3 per cent from a year earlier. The drop in sales in China was particularly pronounced, down 28 per cent. And given the waning demand for electric cars, 2025 also looks like a challenging year for the company.
The automaker once had one of the most ambitious electric vehicle strategies in the industry. By 2030, the share of electric cars in Porsche's production was supposed to reach 80 per cent. Now, however, Porsche wants to focus on the internal combustion engine and hybrids again. Up to 800 million euros may be allocated for this purpose.
