Archive · 20 Sep 2026
Porsche Faces 4,100 More Potential Cuts in Volkswagen Turnaround
Porsche may cut about 4,100 more jobs as its parent company, Volkswagen, tries to reduce costs.
These possible cuts would be added to about 9,000 jobs already covered by earlier agreements.
In July, Porsche management and labor representatives agreed to 5,000 additional layoffs on top of 4,000 previously determined cuts.
A report said the new plan would address a large overhead shortfall at Porsche.
Volkswagen and Porsche did not confirm or deny the reported plan.
Volkswagen can suggest changes at Porsche but cannot force the company to make them.
Volkswagen also lowered its expected profit margin for the year to no more than 1%.
The company linked the weaker outlook partly to a writedown at Porsche, falling China sales, and a costly change in its electric-vehicle strategy.
About 4,100 additional Porsche positions are reportedly at risk under Volkswagen’s restructuring plan.
The reported cuts would come on top of 9,000 positions covered by earlier agreements.
Handelsblatt said the plan is intended to address an overhead shortfall of about 700 million, reported as euros in one account and pounds in another.
Volkswagen and Porsche declined to comment, while Volkswagen can recommend but not mandate measures at Porsche.
Volkswagen lowered its full-year margin target to 1% at best from a previous range of 4.0% to 5.5%.
- Who
- Porsche, Volkswagen, Porsche employees, and Volkswagen’s supervisory board are involved; CEO Michael Leiters is also mentioned.
- What
- A reported Volkswagen restructuring plan could place about 4,100 additional Porsche positions at risk.
- When
- The report appeared on Saturday; earlier job-cut agreements were announced in July, and Volkswagen revised its margin target on Friday.
- Where
- The reported cuts concern Porsche, the Stuttgart-based sports-car maker, within the Volkswagen group.
- Why
- The reported plan aims to address an overhead shortfall of about 700 million and forms part of Volkswagen’s turnaround effort amid weak China sales and changes to Porsche’s electric-vehicle strategy.
- Reported additional positions at risk
- About 4,100
- Earlier agreed positions
- About 9,000: 4,000 previously determined and 5,000 additional layoffs agreed in July
- Reported overhead shortfall
- About 700 million; one account specifies euros, while another reports pounds
- New Volkswagen margin target
- 1% at best
- Previous margin target
- 4.0% to 5.5%
- Company responses
- Volkswagen and Porsche declined to comment
- Porsche authority
- Volkswagen can recommend, but not mandate, measures at Porsche
