Bosch is implementing significant cost-saving measures, including layoffs that could threaten thousands of jobs, as part of its strategy to address the automotive industry's ongoing crisis and remain competitive.

The company aims to reduce costs by €2.5 billion annually by 2030 through measures such as cutting material and energy costs, increasing productivity, and restructuring its operations.

Management states that by 2030, Bosch intends to cut an additional €2.5 billion annually to maintain a minimum return of 7% and stay competitive amid industry upheaval.

While management has not yet detailed specific layoffs, employee representatives, including the works council and union IG Metall, oppose the job cuts and demand transparency and collaborative planning.

Employee representatives are calling for future cost-cutting plans that do not negatively impact staff and are urging management to focus on investments and innovation for sustainable growth.

Bosch reports ongoing growth in its supplier division despite global stagnation, with the company forecasting a revenue increase of just under 2% this year, supported by sectors like drivetrains and safety systems.

Frank Sell, the chairman of Bosch's works council, has called for transparency from management regarding future plans, criticizing what he describes as a 'salami tactics' approach to layoffs and emphasizing the need for joint solutions.

Despite industry challenges, Bosch's mobility division expects some growth in 2025, with nearly a 2% revenue increase driven by demand for sensors, safety systems, and high-performance computing, even amid delays in electric and automated vehicle technologies.

Bosch's leadership emphasizes that the automotive sector is undergoing a major transformation, requiring continuous adaptation, with cost reduction goals to be finalized and discussed with employee representatives within the year.

Bosch has already carried out extensive layoffs since late 2023, reducing over 14,000 jobs worldwide, including 1,100 at the Reutlingen site, as part of ongoing restructuring efforts.

Previous restructuring efforts have included significant layoffs at various sites, reflecting Bosch's ongoing efforts to adapt to industry challenges.

Bosch announced plans to cut costs by €2.5 billion annually in response to the automotive industry's crisis, aiming to save billions by 2030 and address economic challenges in the sector.

Sell and other employee representatives demand clear, concrete plans from management to address job cuts and ensure the future of Bosch's German mobility and supplier sites, highlighting concerns over the impact on staff.