Porsche to axe 5,000 jobs after hard-fought staff talks

08/15/2026

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Porsche to axe 5,000 jobs after hard-fought staff talks

Porsche has unveiled a major workforce and operational overhaul that will see around 5,000 roles removed by 2035. The plan comes after lengthy talks with employee representatives and is framed as a negotiated, socially responsible package to keep the sports car maker competitive as it shifts toward its long-term Strategy 2035.

Porsche’s Future Package: what the company announced

The Stuttgart-based firm described the plan as a Future Package agreed with its Executive Board and the General Works Council. Leaders say the move is part of a wider effort to reposition Porsche for the coming decade and beyond.

  • The target reduction: about 5,000 jobs by 2035.
  • Porsche insists there will be no forced mass layoffs.
  • The package is tied to the company’s Sportwagenschmiede 35 strategic framework.
Porsche’s Future Package: what the company announced — The Stuttgart-based firm described the plan as a Future Package agreed with its Executive Board and the General Works Council. Leaders say the move is part of a wider effort to reposition Porsche

How job reductions will be achieved

The company plans to limit staff numbers without compulsory redundancies. Executives emphasise that cuts will be managed through less disruptive means.

Fabrikarbeiter an einer Produktionslinie in einer modernen Automobilfabrik

  • Natural attrition as employees retire or leave.
  • Demographic effects across the workforce.
  • Expansion of a special partial-retirement scheme.
  • Voluntary severance agreements.

These options are intended to reduce headcount while softening social impact. Porsche called the approach “socially responsible.”

Changes to working patterns and production

Beyond headcount, Porsche announced operational shifts designed to lower personnel costs and boost flexibility.

  • Mobile working capped at eight days per month.
  • Alterations to break times and production cycle rhythms.
  • A push to increase productivity across teams.

Executives say these measures will streamline processes and help safeguard core manufacturing at sites such as Zuffenhausen.

What management and employee reps said

Dr Michael Leiters, Porsche’s Executive Board chair, framed the package as essential to delivering the company’s 2035 goals. He said success will be necessary to preserve long-term job security.

Ibrahim Aslan, who leads the General Works Council, described the agreement as hard-fought. He acknowledged compromises but stressed the deal keeps the brand and core workforce on a sustainable track.

What management and employee reps said — Dr Michael Leiters, Porsche’s Executive Board chair, framed the package as essential to delivering the company’s 2035 goals. He said success will be necessary to preserve long-term job security. Ibrahim Aslan, who leads the

Impact on models, production sites and custom orders

Porsche confirmed that two-door sports cars will continue to be produced in Zuffenhausen. The plan also aims to increase capacity for Sonderwunsch, the bespoke customer-order programme.

  • Zuffenhausen remains central to sports car production.
  • Sonderwunsch volume is set to grow to meet demand for custom orders.

Sales context and market pressures

The company reported a noticeable dip in deliveries earlier this year. In the first half, Porsche sold 122,306 sports cars, down about 16% year-on-year.

Montage eines Sportwagens in einer Fertigungshalle mit moderner Technologie

Executives cited two primary causes:

  • The end of production for the internal-combustion 718 model.
  • The removal of tax incentives in the US for some hybrid and electric models.

Where this fits in Strategy 2035 and next steps

The Future Package is presented as one of the key measures under Porsche’s Strategy 2035. The company plans to share additional strategy details at its Capital Markets Day in October.

Management says the package creates the foundation for the next phase of transformation. Unions and the executive team have agreed on the headline points, but more operational specifics are due to follow.

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