Porsche announces 5,000 job cuts by 2035

The German automaker Porsche announced a strategic restructuring of its operations and will cut more than 5,000 jobs by 2035. This decision comes just days after its parent company, the Volkswagen Group, reported a slump in global sales, primarily in China, where it had an established market niche.

This job cut is one of the measures outlined in the company's strategic plan.

"The package also includes the socially responsible reduction of a further 5,000 jobs by 2035. This will be achieved primarily through natural attrition, demographic effects, the expansion of the special partial retirement programme and voluntary severance agreements," Porsche stated in a press release.

The goal, as explained by the company, is to "strengthen competitiveness ... and secure as many jobs as possible in the long term."

In addition to these job cuts, Porsche stated that no salary increases will be implemented until 2035. Its executives will forgo "an equivalent contribution from increases in basic remuneration."

The chairman of Porsche's Board of Management, Michael Leiters, noted that these measures are "good" for the company and gives it "the opportunity to strategically realign our company and invest in our competitiveness."

In 2025, Porsche delivered 279,449 vehicles to customers worldwide, 10% fewer than in 2024, according to a press release issued earlier this year. Without specifying whether it was in the United States, the company sold 86,229 vehicles in North America last year, making it "the largest sales region."