Volkswagen's board of directors has officially approved the company's restructuring plan until 2030, Bloomberg and AP report. The document envisages the dismissal of up to 50 thousand employees, the closure of four factories in Germany and the reduction of the model range practically in half.

The mass media first wrote about the layoffs in June 2026, and now this plan has received official confirmation.

The exact dates for the implementation of the changes are not specified. According to the agreement with the trade union, forced layoffs of enterprises are prohibited until 2030. The factories that will be closed will stop production in the period from 2031 to 2034.

Earlier, in March 2026, Volkswagen already agreed with the trade union to lay off 50 thousand employees by 2030. Taking into account the new reductions, the total number of fired people will reach 100 thousand people. In total, 650 thousand employees work in the company.

And Volkswagen explained the need for restructuring by the desire to bring the number of personnel "in accordance with economic realities". Among the reasons, the company cites increasing competition, including from Chinese automakers, technological changes in the industry, as well as tariffs on car imports, introduced by the United States.