Volkswagen wants to cut 4,000 jobs in Germany. The German automaker is considering offering early or partial retirement to older employees in a move that could cost several hundred million euros. Volkswagen said it has developed a plan to offer partial retirement to those born in 1964, and early retirement to those born between 1956 and 1960.
The company said it expects up to 900 workers to opt for early retirement, while several thousand should opt for the partial. According to the Handelsblatt newspaper, which in recent days had anticipated the company’s decision, up to 5 thousand jobs could be cut.
In what would appear to be a Tesla-modeled transition from car to tech company, Volkswagen also announced an increase in its employee training budget from 40 million to 200 million euros. The hiring freeze has also been extended until the end of 2021, previously foreseen only for the first quarter, while external hires can only be made in sectors such as technology development and digitalization.