After Porsche, Skoda and Volkswagen Group's software subsidiary Cariad were successively exposed to large-scale layoffs, Audi, another brand under Volkswagen, also began to lay off employees.
On the 17th local time, after consultation with its union committee, Audi plans to lay off 7,500 employees by 2029 to enhance its future competitiveness.
Audi House, Ingolstadt, Germany, March 17, 2025, local time.
Audi said the layoffs account for about 8% of its global workforce. Audi currently employs about 88,000 people worldwide, including 55,000 in Germany. It is reported that Audi initially discussed and considered reducing up to 12,000 positions. However, it was finally decided to cut positions in administrative and non-production areas.
In the medium and long term, the layoffs will save Audi 1 billion euros (about 7.9 billion yuan) each year.
At the same time, Audi plans to invest about 8 billion euros in its two largest production bases in Germany, Ingolstadt and Neckarsulm. It is reported that Audi plans to produce a new entry-level electric model at the Ingolstadt plant and is considering producing another model in Neckarsulm.
Audi itself is facing increasingly severe competitive pressure and huge political uncertainty.
In 2024, Audi was the brand with the largest decline in sales among the BBA (down 11.8% year-on-year), and its sales in all major markets declined to varying degrees. Among them, in the Chinese market, which accounts for nearly 40% of its global total, deliveries fell by about 11%.
