Volkswagen might cut 20,000 jobs

Volkswagen might cut 20,000 jobs

American auto giants Ford and General Motors have both already announced their plans to cut massive number of jobs in order to cut costs and get back to profitability. Now, the latest news coming in claims that the German automotive giant Volkswagen might be following them soon.

The company has plans to cut as many as 20,000 jobs in the next couple of years as it is undergoing a massive restructuring program that could also lead to a reduction in production capacity.

This news announcement helped the company improve its share price in the stock market. Volkswagen also announced that they are expecting higher operating profit before special items and slightly higher revenue this year. The company’s restructuring plans includes reorganizing its car parts business, improving productivity and achieving full plant utilization.

Volkswagen said in a statement: “In the next three years up to 20,000 direct and indirect employees within the Volkswagen Passenger Car brand could be affected by this restructuring program.”