Robert Bosch said on Friday (November 22) the company plans to cut up to 5,550 jobs, the latest sign of struggle in Germany’s creaking auto sector, which is grappling with competition from cheaper Chinese rivals and weak demand.
Bosch, the world’s biggest car parts supplier, said it is planning to cut 3,500 jobs by end-2027 in its cross-domain computer solutions division, half of which will be at German sites, flagging weak demand in intelligent driver assistance systems and solutions for automated driving.
It also plans to cut around 750 jobs by 2032 at its Hildesheim plant, in Germany, 600 of which are planned by the end of 2026.
Further to that, Bosch announced cuts at its steering division at a plant in Schwaebisch Gmuend, near Stuttgart. The company plans to axe up to 1,300 positions there between 2027 and 2030.
Bosch joins other major industry players in restructuring efforts. Earlier this month, auto-parts suppliers Michelin and Schaeffler announced plans to shut down factories and cut thousands of jobs across Europe. Automakers like Ford, Volkswagen, and Mercedes-Benz are also scaling back operations. Ford recently disclosed plans to eliminate 4,000 jobs in Europe, primarily in Germany and the U.K., while Volkswagen faces potential strikes over labour disagreements concerning restructuring efforts.
As the automotive industry undergoes a profound transformation, suppliers like Bosch are feeling the ripple effects of shrinking margins, competitive pressures, and costly technological shifts, signalling an uncertain road ahead.
Bosch to cut hours for 10,000 workers
Meanwhile, Bosch will reduce the working hours and pay of around 10,000 employees in Germany, going beyond previously announced reductions and in addition to thousands of job cuts announced on Friday.
Staff mostly on 38- or 40-hour contracts at sites around Germany will have their hours reduced to 35 hours, a spokesperson said on Saturday, confirming a report by dpa news agency.
