BERLIN, Germany: Volkswagen is set to cut 1,600 jobs at its Cariad software division by the end of the year, affecting nearly 30 percent of the unit's 5,900 employees, according to a report by Handelsblatt.
The layoffs will primarily be carried out through redundancy programs, marking a significant restructuring effort within the automaker's software unit. Volkswagen confirmed the planned reductions, stating that they are part of a broader transformation strategy.
In an emailed statement to Reuters, the company said it is following a "transformation plan" for Cariad that was agreed upon in 2023.
"Last year, we already made the organization more efficient as an internal software solutions developer with higher in-house performance and are now also adjusting the number of employees accordingly," a Volkswagen spokesperson said.
