VW Saxony faces further job cuts due to electric car slump

Due to weak demand for electric vehicles, more temporary workers at Volkswagen in Zwickau have to fear for their jobs. The talk is of 1,000 to 1,200 contracts that will probably expire by the end of 2025. A final decision on this is expected in August, said a company spokesman upon request. The "Freie Presse" had previously reported on this number. Currently, the electric vehicle factory employs around 9,400 people, according to the company.

For the start of electric mobility, Volkswagen in Zwickau increased its workforce with around 2,700 temporary employees. More than 500 were made permanent last year, according to earlier reports, but due to weak demand for electric vehicles, 269 had to leave by the end of 2023. A reduction of 500 jobs was planned for this year. A further reduction does not come as a surprise: the company had always emphasized that the extension of the temporary contracts was dependent on market conditions. And the situation remains tense. There is a lack of sufficient new orders, it was said.
 

Further Steps Towards Two-Shift Operation

Volkswagen Sachsen had already announced a few weeks ago that, due to weak demand, it would push ahead with the transition to a pure two-shift operation in Zwickau. As early as November, the third shift had been cut for one of the two production lines. The transition for the plant as a whole is to be completed by August.