ZF CEO Unveils Restructuring Plan: Wage Cuts, Hour Reductions, and 7,600 Job Losses by 2030
ZF Friedrichshafen, a German automotive supplier, has announced significant changes under the leadership of new CEO Mathias Miedreich. The company aims to restore competitiveness and achieve substantial savings by 2027.
Miedreich acknowledged the necessity of harsh cuts, including a delay in the planned wage increase for April 2026. He also confirmed that 'Division E' employees in Germany will see a 7% reduction in weekly working hours until 2027, leading to wage losses.
ZF has agreed with the works council and trade union IG Metall on comprehensive cost-cutting measures. These are expected to result in savings of over 500 million euros by 2027. 'Division E' is set to reduce its workforce by an additional 7,600 jobs by 2030, on top of the previously announced 14,000 job cuts by the end of 2028.
In a shift from previous plans, ZF will not spin off its powertrain division 'Division E'. Instead, Miedreich, who took over in October 2025, has decided to focus on restructuring within the division.
ZF's new CEO Mathias Miedreich has outlined a plan to restore competitiveness through internal overhauls and cost-cutting measures. While employees face wage adjustments and reduced hours, the company aims to save over 500 million euros by 2027. The powertrain division 'Division E' will not be spun off but will undergo restructuring instead.
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