OEMs and suppliers are experiencing high costs and overcapacity that’s challenging its business as it attempts to streamline operations
Low new vehicle sales, market competition and EVs have conspired to force Robert Bosch LLC to reduce up to 5,550 jobs across its operations. As first reported by CBT News, the company stated on Friday that OEMs and parts suppliers are experiencing high costs and overcapacity that’s challenging its business as it attempts to streamline operations.
As the industry undergoes its mobility transformation and uncertainty, suppliers are experiencing shrinking margins and costly technological shifts. Bosch’s computing solutions division will have the largest cuts (3,500 positions by 2027), followed by a workforce reduction at its Germany-based electric-motor plant (750 jobs by 2032), and its steering division in Schwaebisch Gmuend (1,500 positions between 2027 and 20300).
Bosch is not alone in its restructuring: automakers Volkswagen (labor disagreements), Ford (mostly jobs in U.K. and Germany) and Mercedes-Benz are dialing back operations, and Michelin and Schaeffler have stated they will close factories which will cut thousands of jobs in Europe.
Comments are closed.