Brose to Cut 700 Jobs in Germany Amid Major Restructuring

The auto parts supplier cites economic challenges, underutilized facilities, and rising costs as reasons for workforce reductions and organizational changes.

Brose, a global auto parts supplier, plans to eliminate 700 positions in Germany by the end of 2025, with the majority of cuts at its Coburg, Bamberg, and Würzburg locations.
The company forecasts a €53 million loss for 2024, with revenues of €7.7 billion, down 7% from projections and 3% from the previous year.
Brose attributes the losses to weak demand in the automotive sector, underutilized facilities, and rising indirect personnel costs, which have doubled over the past decade.
The restructuring includes a 20% reduction in indirect personnel costs, a streamlined organizational structure, and efforts to make processes more efficient by reducing management layers.
Brose leadership, including CEO Stefan Krug and Chairman Michael Stoschek, emphasized the need for socially responsible implementation of the layoffs and openness to potential business partnerships.