ZF is planning to reduce its workforce in Saarbrücken by 1800 positions.
ZF, a struggling auto parts manufacturer, is planning to eliminate around 1,800 positions at their Saarbrücken facility by 2023. This decision was disclosed by a company representative in Saarbrücken, with a consultation meeting with the workers' council scheduled for the following day. This reduction in workforce is an extension of the 14,000 job cuts announced by ZF back in July, aiming for a reduction across Germany over the next four years. The Saarbrücken facility, which manufactures auto transmissions, currently employs roughly 10,000 people and is the sole ZF site producing transmissions for cars with traditional engines, hybrids, and electric vehicles.
Saarbrücken is the sole ZF location producing transmissions for vehicles powered by various energy sources, including classic engines, hybrid models, and electric cars. The site has recently established new production lines for electric vehicles. However, the recent drop in orders has led to idling of certain facilities.
ZF communicated that the job cuts in Saarbrücken, originally slated to finish by 2025, will predominantly occur due to expiring temporary contracts. If the order situation does not improve, as much as 4,500 positions could potentially be eliminated in Saarbrücken by 2028.
Despite the new production lines for electric vehicles, the recent drop in orders has caused certain facilities to idle at the Saarbrücken facility. Due to expiring temporary contracts and potential order improvements, the Manufacture of motor vehicles at the Saarbrücken facility could see up to 4,500 position reductions by 2028.
