Porsche boss Blume before a critical savings program: 1,900 jobs in danger!

Porsche boss Blume before a critical savings program: 1,900 jobs in danger!

Weingarten, Deutschland - The Porsche AG has invited to this year's general meeting, which takes place today on May 21, 2025. As the main speaker, Porsche boss Oliver Blume will explain the corporate strategy. In the midst of a challenging economic environment, the company plans to reduce 1,900 positions, a step due to the significant decline in the business in China and the lack of success of its electric models. Blume is expected to answer critical questions about these developments, as this is the second general meeting since the IPO one and a half years ago. According to Tagesschau.de , the economic environment for Porsche has become worse last year, with a withdrawal of the profit expectations and a decline in sales and sales and Business profits.

The sales decline in China, which fell by more than 40 percent in the first quarter, is particularly worrying. Chinese customers are increasingly turning to domestic production, which is considerably stressed by the sales figures of the Porsche Taycan, which in the first three quarters in 2024. According to the current information from Winfuture.de , the Taycan was still the best -selling electric vehicle from Porsche, but now suffers from a decreasing demand in the luxury segment.

HR reduction and austerity measures

Personal planning at Porsche may provide for the deletion of up to 8,000 out of 42,000 jobs. CFO Lutz Meschke announced that the cost structure is geared towards a sales of 250,000 units per year, which results in a reduction by 20 percent. Originally planned shift reductions to react to the falling sales figures are to be continued by 2025. In addition, around 1,000 temporary workers had to lose their jobs because their contracts were not extended.

The challenges for Porsche are complex. In addition to the difficulties in the China business already mentioned, there are also significant problems with the introduction of new electric vehicles, especially in the fully electric Macan, the market launch of which is delayed by software problems. Battery technology also represents a hurdle for the electrification of the 718 series, which includes models such as the Boxster and Cayman.

criticism of corporate management

flower is not only faced with internal challenges, but also increasing criticism of shareholders who are concerned in his double role as the head of Porsche and Volkswagen. At the last general meeting of Volkswagen, sharp criticism of the corporate management has already been practiced. These circumstances could strongly influence the mood during the general meeting. The dividend remains stable at EUR 2.30 per share of voting, but the skepticism about the future development of the company.

In addition to the challenges in the automotive sector, there are important environmental projects in Baden-Württemberg. In Weingarten in the district of Ravensburg, the plans for the largest wind farm in the federal state were completed. Critics warn of a "massive intervention in nature and living space", while the planners describe the project as the "milestone of the energy transition". This shows that in addition to the economic aspects, there are also increasing social and environmental policy discussions and challenges that affect companies and Porsche.

Cultural life in the region remains active. This is how the 37th season begins today with a concert by the Norwegian band Rebekka Bakken. Almost 40 events are planned by July 5, many of them are already sold out, which underlines the cultural importance of the region.