Bosch announces massive layoffs and key acquisition plans
The crisis in the automotive industry is intensifying. According to recent reports, Bosch plans to lay off 7,000 employees from its plants in Germany, as reported by "Rzeczpospolita".
8:14 AM EST, November 3, 2024
"Bosch will not achieve its economic goals in 2024," said Stefan Hartung, the CEO of Bosch. More than 7,000 job cuts are planned in Germany, which might even increase. "At the moment, I cannot rule out that we will have to further adjust our staffing resources," added Hartung.
Bosch manufactures a variety of products, including discs, brake pads, sensors, and safety systems for the automotive industry.
In 2023, Bosch generated nearly 98 billion US dollars in revenue. According to Hartung, this year's return on sales is expected to be 4 percent, compared to 5 percent last year, with a target of 7 percent by 2026.
Bosch lays off and acquires
"In recent months, Bosch has repeatedly announced plans to reduce jobs worldwide. This latest move affects over 7,000 jobs in Germany, primarily in the automotive supply sector, but also in the tools division and the BSH subsidiary that handles household appliances," reports "Rz."
Despite the job cuts, the company is planning the largest acquisition in its history. Bosch aims to strengthen its position in the heat pump and air conditioning industry by acquiring the Irish company Johnson Controls for 8 billion US dollars.
