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The Volkswagen Group is said to be on the eve of ‘the biggest reorganization in decades’. The German knows that Handelsblatt from board members. Details are expected next week.
Volkswagen is preparing for a massive reorganization led by CEO Oliver Blume, understands Handelsblatt of company directors. The reorganization should, among other things, reduce costs, but large rounds of layoffs would not be planned. According to the newspaper, the Supervisory Board will consider the plans on Tuesday and CEO Blume would then reveal details at an investor day on June 21. According to the sources, this is the “biggest reorganization in decades” in order not to “lose contact with the competition.”
At the volume brands, Volkswagen, Seat (Cupra) and Skoda, annual profitability must increase by €3 billion by reducing development costs and working more efficiently in factories. Expenditure must also be reduced in purchasing and the number of models can be reduced. Volkswagen has approximately 200,000 employees worldwide, of which approximately 120,000 in Germany. There have already been several reorganizations at the car group, with many thousands of jobs disappearing.
– Thanks for information from Autoweek.nl