The German company Bosch announced this Thursday that it will cut 13,000 jobs, as the largest supplier of parts for the automotive sector is facing difficulties due to a slow market, high costs, and pressure from its rivals, which has left it with an annual cost deficit of €2.5 billion.
Bosch made it clear that it aims to reduce costs as quickly as possible, and that in addition to job cuts, it also intends to reduce costs for materials and operations, decrease investments in facilities, and optimize logistics and supply chains.
The company also stated that the reduction in jobs will take place in several German units by the end of 2030, noting that there is excess capacity in administrative and sales areas, as well as in development and production, due to the decline in demand.
“We urgently need to improve our competitiveness in the mobility sector and continue to permanently reduce costs”, said Stefan Grosch, a member of the management board and director of employee relations at Bosch. “This is a very painful situation for us, but unfortunately there is no way around it.”
