Bosch Layoffs: German Automotive Component Manufacturer BOSCH is about to trim of its 1,100 employees. According to the Society Agency AFP, the deduction will affect about ten percent of the workforce working in the South German plant.
According to the report, this retrenchment will affect the assembly staff as well as back-office staff. BOSCH’s electronics chief Dirk Cress said, “European steering system has become extremely competitive in market prices. In this, the struggle with new Chinese suppliers entry has increased further.”
The reason for lagging against competition
BOSCH reported that the slow sale of electric vehicles and the declining demand have affected the sales of the steering system. The company said, “The production of the steering system on the Reutlingen site is no longer competitive.” Now this plant will be focused on semiconductor construction.
Dirk Cress further said, “Job cut is not an easy decision, but it is necessary to secure the future of the site.” However, the company has not clarified whether the layoffs will be mandatory or will be completed through options like volunteer retirement.
The company has trimmed before
BOSCH also trimmed 5,500 employees in November 2024. Other German auto companies such as Schaeffler and Continental have also trimmed in the last one year. On Friday, Porsche also warned of a ‘serious situation’ over the decline in demand in China.
BOSCH is a list in the Indian stock market. On Wednesday, its shares closed at Rs 37,980.00 with a gain of 0.60%.
What is Bosch’s business?
BOSCH is a German multinational company mainly forms automotive components, industrial technology, consumer goods (such as washing machines, refrigerators, power tools) and building technology (such as CCTV, Security System). It is also active in manufacturing and R&D in India, especially in the auto sector.
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