BMW is cutting thousands of jobs
The German automaker BMW will cut 6,000 jobs in total, but wants to avoid forced layoffs as much as possible. The company has concluded a deal with the works council about this. It is the largest workforce change at BMW since 2009.
The car manufacturer has agreed a package of measures, including bringing forward early retirement through a financial contribution from termination benefits, reducing the number of hours in contracts and taking extra vacation days in exchange for wages. Certain vacancies are also no longer filled. BMW will continue to invest in training and guarantees that this year and next year 1,200 trainees will be welcome.
About 126,000 people currently work at BMW. Typically, about 5,000 people leave the company every year. Half of them retire. Like the rest of the car industry, BMW is suffering from significant sales declines due to the corona crisis and previously warned that a heavy second quarter should be expected. That reporting period runs until the end of this month.