More Than 8,000 Job Cuts Planned by Another Top German Manufacturer
German industrial powerhouse Bosch has revealed plans to slash approximately 8,250 jobs globally over the coming years, marking yet another setback for Germany’s struggling economy.
The job cuts will primarily affect Bosch’s Mobility sector, which supplies parts to automakers worldwide. The company cited sluggish demand, rising costs, and growing competition as key reasons behind the decision.
“The difficult economic environment and the ongoing transformation in the automotive industry are presenting us – like other companies – with major challenges. It is important for us to remain competitive under these conditions,” Bosch stated, adding that the mobility sector is undergoing a “profound transformation.”
The planned redundancies, which account for nearly 2% of Bosch’s global workforce of over 429,000 employees as of 2023, are part of the company’s efforts to adapt to shifting market conditions.
Bosch, a 138-year-old company known for its diverse portfolio spanning consumer goods, machinery, and automotive components, is the latest German manufacturer to face economic headwinds.
Germany, Europe’s largest economy, has been grappling with multiple challenges, including high energy costs following Russia’s 2022 invasion of Ukraine, steep labour costs, and fierce competition, particularly from Chinese rivals.
Last month, Thyssenkrupp, the country’s leading steel producer, announced plans to cut 11,000 jobs – about 40% of its workforce – partly blaming an influx of cheaper imports from Asia. Similarly, Volkswagen recently faced nationwide strikes amid concerns over potential mass layoffs and plant closures.
Germany’s economic woes deepened last year when its GDP contracted for the first time since the COVID-19 pandemic. Forecasts from the European Commission predict another decline this year, raising further concerns about the outlook for the country’s iconic manufacturing sector.
