Thomas Schaefer, head of Volkswagen, has admitted that the brand is no longer competitive and that cardinal decisions will have to be made to stay afloat.
The Volkswagen crisis has been talked about since the summer of this year, but now the situation has worsened even more. The head of the concern, Thomas Schaefer, warned about this at the employees’ meeting, who emphasized that painful decisions cannot be made.
Among the Volkswagen Group’s mass-produced brands, Volkswagen has the highest sales in the first three months of 2023, but also the lowest operating profit. The company plans to increase its return on sales from last year’s 3.6 percent to 6.5 percent by 2026.
In order to save the situation, 10 billion euros will have to be saved by 2026. Including at the expense of the staff. The management has not yet revealed how many people will be laid off, but it is known that some will be offered an agreement on early retirement.
It will also not do without a review of the model palette, mercilessly eliminating those vehicles that compete with each other within the company.
Difficult times await the Volkswagen Group, as confirmed by a survey conducted by the opinion research institute Civey, in which 2,500 people interested in the automotive industry took part. Most of the respondents believe that the multi-brand group is currently in a crisis situation.
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2023-11-28 13:15:49
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