BMW is reportedly planning to cut up to 8,000 jobs in Germany, as the European automaker looks to slash costs in the face of growing competition from China.
According to The Wall Street Journal, BMW has started a "voluntary redundancy program" agreed to with employee representatives. That program includes severance deals for roles in the company's administration and development departments, while excluding production operations. BMW currently employs roughly 84,000 workers in Germany, and around 154,000 globally.
In a statement, BMW CEO Milan Nedeljkovic detailed how the company has been dealing with "rapidly escalating challenges" since he became the company's chief executive in May 2026.
"That's why it's important to be lean and agile," Nedeljkovic said. "We are working to reshape our organization and process, thereby positioning the company to stay competitive moving forward."
This comes after BMW's earnings before interest and taxes fell by nearly 40% year-over-year during the second quarter of 2026, driven by a 30% dip in car sales in China. The automaker also expects to see a drop in deliveries by the end of 2026 compared to the previous year, and a "significant decrease" in earnings before tax.
