Volkswagen Supplier Schaeffler to Cut 3,400 Jobs, Close German Sites

Business Standard · business

Automotive supplier Schaeffler AG plans to eliminate 3,460 jobs in Europe, with a significant portion in Germany, and close five European sites, including four in its home country and one in Belgium. The company cited weak demand in the auto market, intensifying competition, and a slower-than-expected transition to electric vehicles as reasons for the cuts. This move aims to reduce high-cost operations in Germany, where employee costs are substantially higher than elsewhere in Europe. Top executives will also take a 10% pay cut as part of the restructuring efforts.