The car supplier and tire manufacturer Continental wants to make its ailing auto supply division profitable again with thousands of job cuts. From 2025, an annual cost reduction of 400 million euros in the administrative area will take effect, as the DAX company announced on Monday in Hanover. Among other things, business areas are being bundled more closely. The measures are intended to accelerate decision-making processes and increase the efficiency of research and development spending.
According to Conti, it is not yet clear exactly how many jobs will be affected. The number is likely to be in the mid four-digit range, it said. At the weekend, “Manager Magazin” reported that around 5,500 jobs would be lost worldwide. The division most recently had 102,574 employees, and the group as a whole had 203,593.
“These measures increase efficiency and effectiveness and strengthen our competitiveness,” said division boss Philipp von Hirschheydt. Conti has been in crisis in the automotive supply sector for a long time and is struggling to stay operationally in the black in the brakes, interior equipment, sensors and electronics business. Like other industry representatives, Conti must also invest heavily in future technology. “Our goal is a sustainably profitable division that can make investments in its future on its own,” said von Hirschheydt.
© dpa-infocom, dpa:231113-99-927444/3
The car supplier and tire manufacturer Continental wants to make its ailing auto supply division profitable again with thousands of job cuts. From 2025, an annual cost reduction of 400 million euros in the administrative area will take effect, as the DAX company announced on Monday in Hanover. Among other things, business areas are being bundled more closely. The measures are intended to accelerate decision-making processes and increase the efficiency of research and development spending.
According to Conti, it is not yet clear exactly how many jobs will be affected. The number is likely to be in the mid four-digit range, it said. At the weekend, “Manager Magazin” reported that around 5,500 jobs would be lost worldwide. The division most recently had 102,574 employees, and the group as a whole had 203,593.
2023-11-13 10:13:42
#Company #Continental #starts #savings #program #automotive #supply #division
