Audi to cut 7,500 jobs as Germany’s auto industry struggles

Volkswagen’s Audi luxury brand has announced it will cut thousands of jobs over the next few years, in the latest sign of trouble in Germany’s auto sector.

The automaker said in a statement Monday that it would slash up to 7,500 jobs at its German sites by 2029 as part of a broader plan, agreed with employee representatives, to cut costs and help Audi transition its production to electric vehicles.

Audi said it expected the plan to save it €1 billion ($1.1 billion) over the medium term and that it would invest €8 billion ($8.8 billion) over the next five years in its German plants to help them manufacture EVs.

The company said “economic conditions are becoming increasingly tougher” and that “competitive pressure and political uncertainties are presenting the company with immense challenges.”

The job cuts represent about 8.6% of Audi’s global workforce, according to the automaker’s website.