ZF Friedrichshafen to Cut 7,600 Jobs by 2030, Reduce Working Hours to Boost Competitiveness
ZF Friedrichshafen, a global leader in automotive technology, has announced significant changes to its operations. Around 7,600 jobs at 'Division E' are expected to be cut by 2030, not additional to the 14,000 cuts already announced. The new CEO, Mathias Miedreich, starting from October 2025, sees these measures as a milestone for the company's competitiveness.
ZF aims to restore competitiveness of existing products through restructuring. A key part of this plan is a reduction in weekly working time for employees at 'Division E' and other sites by an average of around 7% by the end of 2027. Management and employees have agreed on cost-cutting measures expected to save over 500 million euros by 2027.
The planned general wage increase for April 2026 will be postponed. Negotiations in the steel industry reference wage increases scheduled for July 2025 and July 2026, with a contentious offer for a small increase starting January 2026 and a potential delay or reduction in real wage gains until September 2026.
ZF Friedrichshafen has abandoned plans to spin off its 'Division E' powertrain unit. The company expects these measures to help it navigate challenging market conditions and restore profitability. The new CEO, Mathias Miedreich, acknowledges the harsh cuts for employees but emphasizes the necessity of these changes for the company's long-term success.
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