Massive job cuts at ZF: 14,000 jobs in danger!

Massive job cuts at ZF: 14,000 jobs in danger!

The automotive supplier ZF Friedrichshafen faces a profound restructuring process, which provides for the reduction of 11,000 to 14,000 jobs in Germany by 2028. This affects not only production, but also administrative and development positions. At the Saarbrücken location, which is considered the largest industrial employer in Saarland, at least 1,800 jobs are threatened. Despite the planned million -dollar investments in Saarbrücken, the group has already announced this painful step for its employees. [Merkur] reports that the group recorded a loss of billion dollars in the past year, which underlines the urgency of these measures.

Currently around 54,000 people in Germany work for ZF. The upcoming cuts mean that more than any fourth place of work could be affected. The CEO Holger Klein confirmed the need to make difficult decisions to focus on the future. ZF has introduced a strict savings program with the aim of reducing costs by around six billion euros worldwide. The reasons for these austerity measures are obvious: the company has high debts, in particular through the acquisition of TRW and Wabco, and faces increasing demands in the area of electromobility.

changed market conditions and customer strategies

An important factor for the current situation is the decision of BMW to increasingly obtain gears for SUVs built in the USA from a ZF plant in the USA. This decision is also influenced by the customs policies of former US President Donald Trump. [Tagesschau] also reports on the general trend in the automotive industry, which is characterized by an accelerated change to electromobility. Over 50 percent of the German auto industry is currently planning to dismantle jobs.

The situation for ZF is not unique. Other suppliers such as Continental and Schaeffler have already announced job cancellations. The loss of jobs at ZF could only be the beginning, as experts suspect. The high demand for electric vehicles requires fewer personnel than the production of internal combustion engines, which further increases the challenges for industry.

social responsibility and resistance

Despite the oppressive prospects, ZF emphasizes that reducing the positions should be designed as socially acceptable as possible. This includes offers for partial retirement and severance payment programs. The works council has already announced resistance to the measures and is committed to maintaining jobs. The employees hope for a robust job market, while the competition from China continues to win market shares and put the German supply industry under pressure. [n-tv] underlines that it is currently clear how different the life realities of car builders and their suppliers are. While many automotive manufacturers report high profits, suppliers such as ZF are fighting with discounts and less demand.