Bosch has announced plans to cut 13,000 jobs as part of efforts to save €2.5 billion. The reductions will occur in its mobility division in Germany, which provides vehicle parts and software, following a stagnating market and increased competition from rivals such as Tesla and China’s BYD.
The company also cited rising costs, partly due to tariffs imposed by the US government. Bosch stated there is a “cost gap” of €2.5 billion in its auto business and added that it will “reduce costs at all levels as quickly as possible.”
In addition to job cuts, Bosch intends to reduce investments in production facilities and buildings, citing a “sharp decline in demand” for its products. As of December 2024, the company employed 418,000 people globally.
Bosch confirmed that no jobs in the UK will be affected by the announcement, though it will “continually assess” operations based on customer demand and market developments. “The global vehicle market continues to see subdued development,” the company said.
Stefan Grosch, a member of the Bosch board of management and director of industrial relations, said, “Regrettably, we will not be able to avoid further job cuts beyond those already communicated. This hurts us greatly, but unfortunately there is no alternative.”
Roles in administration, sales, development, and production are expected to be affected at the Feuerbach, Schwieberdingen, Waiblingen, Bühl, and Homburg locations.
The announcement comes amid a slowdown in the German car industry as foreign competitors gain market share. Bosch noted that while the US tariffs on EU exports are lower than those imposed on other countries, the global economic environment and high additional costs make it “impossible to maintain its current high headcount.”
The company plans to begin discussions with affected employees immediately.
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