Job cuts in the auto industry: Where the combustion engine still rules

Job cuts in the auto industry: Where the combustion engine still rules

The German auto industry is in transition. This shows not only the declining number of vehicles produced, but also the consequences for employees in the industry. Loud n-tv The automotive industry accounts for over 4.5% of gross value added. At the moment, about 3.2 million people work directly or indirectly in this sector of the economy, with 1.2 million employed in manufacturing. These figures show how important the industry is for the German economy.

But the challenges are great. Demand for new cars, especially those with combustion engines, is declining internationally. Production has fallen from 5.6 million vehicles in 2014 to fewer than 4.1 million in 2024. These developments make it clear that the auto industry must adapt to remain relevant. It is estimated that around 90,000 net jobs could be lost by 2030.

Regional employment in the auto industry

Car production is particularly important in certain regions of Germany. 116 regions have an above-average proportion of employees in the automotive industry. In Bavaria and Baden-Württemberg alone, around 858,800 people work in this area, which accounts for almost 73% of all employees. The largest shares of employment can be found in cities such as Wolfsburg, Ingolstadt and Dingolfing-Landau.

A closer look at the numbers shows that in Saarland there are 18,834 jobs related to the production of diesel and gasoline engines, in Baden-Württemberg there are 55,418 and in Bavaria even 46,913. These regions have benefited greatly from production, but also face major challenges due to the switch to e-mobility. These new requirements could pose massive hurdles for smaller operations, while large locations remain important.

The future: E-mobility and new jobs

However, e-mobility also brings with it opportunities. Around 182,000 employees are already working in so-called “opportunity areas” in the automotive industry - an increase of 46% compared to 2021. The proportion of employees working on the electrification of the powertrain increased from 5.4% in 2021 to 9.2% in 2025. In Brandenburg in particular, the Tesla factory in Grünheide achieved the highest employment growth in the automotive sector.

The pressure on the automotive industry to adapt is increasing in order to survive in the highly competitive e-mobility market. 68% of the new jobs in this area are spread across the federal states of Baden-Württemberg, Bavaria and Lower Saxony. A good hand is required here so that the industry can master the challenges of the future. The changes present the industry with a difficult but exciting change that brings both risks and new opportunities.

In the transition phase to more sustainable mobility, advanced technologies and innovations remain key. The pressure is high, as is the responsibility that lies not only with large manufacturers but also with small businesses. It remains to be seen how the landscape of the automotive industry in Germany will develop in the coming years.