Luxury carmaker Porsche has announced plans to cut 1,900 jobs by 2029, as the company grapples with challenges in its electric vehicle rollout.
The German manufacturer will reduce staff numbers at its main sites in southwestern Germany by 15 per cent over the next four years.
The cuts come as part of a broader restructuring programme, with the company stating its existing job reduction measures have proven insufficient to meet current challenges.
The Stuttgart-based firm confirmed the plans, emphasising that no forced redundancies would take place under its current location safeguarding agreement.
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Porsche said around 1,900 jobs would be lost within the next four years
PORSCHE
The job reductions will primarily affect Porsche's main plant in Stuttgart-Zuffenhausen and its facility in Weissach.
These locations, which serve as the company's primary manufacturing and development sites in southwestern Germany, will see their combined workforce reduced by approximately 15 per cent over the next four years.
The cuts are part of a comprehensive restructuring effort aimed at addressing the company's current operational challenges.
Porsche confirmed it would implement the cuts through natural workforce fluctuations and demographic changes, whilst maintaining a restrictive approach to filling vacancies.
The company has introduced a part-time retirement scheme for employees born in 1970 and earlier, Reuters reported.
"We are still in a comparatively good position", said human resources manager Andreas Haffner, addressing the company's approach to the staff reductions.
Porsche cited several challenges driving its restructuring decisions, including difficulties with its electric vehicle strategy.
"There are many challenges to overcome - such as the delayed ramp-up of electromobility or the challenging geopolitical and economic conditions," a company spokesperson said.
The job cuts announced this week follow Porsche's earlier workforce reduction measures implemented in 2024. The company had already initiated the process by not renewing contracts for 1,500 fixed-term employees last year.
An additional 500 temporary contracts are now coming to an end, according to a company spokesperson.
They added: "That alone is not enough: the Executive Board and Works Council have therefore decided on a programme to cut around another 1,900 jobs across the entire company in the coming years."
According to data from the Society of Motor Manufacturers and Traders (SMMT), Porsche sold 1,191 new cars in the UK last month, representing a 0.85 per cent market share.
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Porsche sales in the UK have remained stagnant compared to the same time last year
REUTERS
While this is one less vehicle than the brand sold in 2024, it still retains a higher market share than last year after all new vehicle sales shrunk in the first month of the year.
While Porsche makes up less than one per cent of the total market share in the UK, the brand is still selling more vehicles than other popular manufacturers like Lexus, Jaguar and Alfa Romeo.
