Audi to cut 7,500 jobs by 2029

Audi, a brand of German automaker Volkswagen Group, announced Monday that it will lay off 7,500 jobs in Germany in areas such as management and development until 2029, according to a press release by the firm.

"The economic conditions are becoming increasingly tougher, competitive pressure and political uncertainties are presenting the company with immense challenges," it said.

The manufacturer stated that it was investing a total of €8 billion (around $8.7 billion) in its German locations over the next four years, and that the proposed measures, which were agreed upon Monday by management and labor representatives, should save the company €1 billion annually in the medium run.

“In times of profound change, company management and the works council are pulling in the same direction,” said Audi CEO Gernot Dollner.

“With this clear agreement, we are strengthening Audi's competitiveness and future readiness in equal measure. Together, we are sending a clear signal for more focus, efficiency, and profitability at our German sites. This has created the conditions for continuing the transformation in a scope-driven manner,” he added.

Audi also announced the establishment of a "future fund" worth €250 million for the development of the digitalization of artificial intelligence systems and more advanced vehicles.

The company stated that the next step would be to define the measures and their implementation in the divisions in detail.