Friday, May 16, 2025

Car giant needs to save money – laying off 8,000 people now

Czech Skoda is the latest in the Volkswagen Group to dig deep to find savings. 8,000 employees are to be laid off because of electric cars.

Skoda is carrying out a major reduction in its workforce, laying off 20 percent of all employees. According to the brand itself, this corresponds to just over 8,000 employees.

The decision has been made because Skoda still has more costs associated with building electric cars.

The automotive industry is currently experiencing significant upheaval, primarily driven by a political desire for the industry to build far more electric cars.

If it is to be successful, however, the car brands must also consider the fact that they earn far less per car. And Skoda is now taking the consequences of this, even though the brand has recently announced that it expects some kind of progress of as much as 8 percent in the course of 2024.

This is reported by Autonews .

CEO Klaus Zellmer has announced that the departures will be handled through natural attrition. However, the boss does not elaborate on how this will be done.

According to Klaus Zellmer, Skoda's competitiveness is based on low operating costs and a broad model range.

Despite the upcoming savings, the Czech VAG brand insists that even more models will be launched.

Zellmer also hinted that management is considering making the popular Octavia an electric car. However, it appears that Skoda has decided not to develop a standalone version of the VW ID.1 electric minicar.

A car that Boosted, as the first Danish media, could lift a little of the veil. At least when it comes to the price. Read more about it here .

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