November 3, 2024
Benoit Charette
The transition to electrification could well shake up the employment landscape in Germany. A new study by Prognos predicts a reduction of 186,000 jobs in the automotive sector by 2035. As Volkswagen (VW) asks its employees to accept a 10% pay cut to save their jobs, this analysis gives worrying prospects for workers in this emblematic sector.
Electrification, a double-edged sword for employment
The reduction in labor is mainly due to the change in technology. Unlike combustion engines, electric cars require far fewer mechanical components, leading to reduced demand for certain positions, notably in welding, metal processing, and administration. However, this shift offers opportunities in areas like IT and electrical engineering, sectors that manufacturers will need to strengthen to support this transition.
Keywords : electrification, German automobile industry, Volkswagen, jobs, electric transition
Professional reorientation: an issue for workers at risk
For the employees concerned, the need to train in new skills becomes urgent. However, the Prognos study shows that there will not be enough positions to absorb all the workers in the sector. Change has been accelerating in recent years, and VW embodies this transformation: the brand, which has never closed a factory in its history, could put an end to three production sites. Audi, a subsidiary of VW, also announces the closure of its Brussels factory from February 2025, where the Q8 e-tron is manufactured.
An industry under pressure
VW executives say drastic measures are essential to ensure the company’s viability. Arne Meiswinkel, head of human resources at the VW brand, told Reuters: “We need an urgent reduction in labor costs to maintain our competitiveness. This requires input from employees. » VW, facing rising costs, slower-than-expected adoption of its electric vehicles in Europe and the United States, and a loss of market share in China, is caught in a perfect storm.
Conclusion
The transition to electrification is proving complex for the German automotive sector. If it creates opportunities in certain areas, it leaves uncertainty over the future of thousands of workers. Volkswagen’s call to employees for a pay cut reflects a changing industry, where economic and technological challenges are shaping the future of jobs
With information from Carscoops
About the author
Benoit Charette / Owner and editor-in-chief Benoit Charette has been practicing automotive journalism for 30 years. He is founder, owner and editor-in-chief of L’Annuel de l’automobile, which he has published since 2001. He hosted the shows RPM and RPM+ on V and Légendes de la route on Historia. On the radio since 1986, he hosts the show ça tête la route and participates for the second year in the show Passion Auto on RDS in addition to putting the official website of L’Annuel de l’automobile online on annualauto. That.
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