Bosch announces 7,000 job cuts amid industry turmoil
The crisis in the automotive industry is spreading with increasing intensity. According to current reports, Bosch plans to lay off 7,000 employees working in plants in Germany, writes "Rzeczpospolita".
- Bosch will not achieve its economic targets in 2024 - said Stefan Hartung, the CEO of Bosch. More than 7,000 job cuts have been announced in Germany, and this number might be even higher. - At the moment, I cannot rule out that we will need to further adjust our staffing levels - said Hartung.
Bosch produces, among other things, discs, brake pads, sensors, and safety systems for the automotive industry.
In 2023, Bosch generated nearly £80 billion in revenues. According to Hartung, this year's return on sales is expected to be 4 per cent, although last year it was 5 per cent, with a target of 7 per cent by 2026.
Bosch lays off and acquires
"In recent months, Bosch has repeatedly announced plans to reduce jobs worldwide. In this case, it concerns more than 7,000 jobs at German locations, primarily in the automotive supply sector, but also in the tools department and in the BSH subsidiary dealing with household appliances" - writes "Rz".
Notably, while announcing these job cuts, the company is also planning the largest acquisition in its history. Bosch aims to strengthen its position in the heat pump and air conditioning industry. As a result, it has acquired the Irish company Johnson Controls for £6.4 billion.
