Volkswagen Announces €300 Million Management Pay Cuts as Part of Cost-Saving Plan

Europe's largest automaker plans to cut 35,000 jobs in Germany by 2030, with the majority in Lower Saxony, to address underutilized production capacity.

• Volkswagen's management will forgo over €300 million in pay by 2030 to support the company's cost-saving measures.
• The company and labor unions agreed on a restructuring plan that includes eliminating 35,000 jobs in Germany without forced layoffs.
• Approximately 29,000 of the job cuts will occur in Lower Saxony, where VW employs 100,000 of its 130,000 German workers.
• The restructuring aims to save over €4 billion annually, with €1.5 billion coming from reduced labor costs.
• Volkswagen plans to decrease production capacity at its German plants by more than 700,000 vehicles to address low factory utilization.

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