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Porsche Will Cut 1,900 Jobs Amid Sluggish EV Growth
The staff reduction comes on top of other rounds of layoffs that affect 2,000 people.
Photo by: Porsche
Iulian Dnistran 
By: Iulian Dnistran
Feb 14, 2025 at 3:35am ET
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- Porsche is cutting its workforce amid a "delayed ramp-up of electromobility."
- 1,900 German workers are affected.
- The cuts affect Porsche's Zuffenhausen and Weissach sites.
Porsche will cut 1,900 jobs in Germany amid profitability concerns linked to the sluggish electric vehicle uptake rate in Europe and slowing overall growth in China. The job cuts will come on top of two other layoff rounds that affected 2,000 workers.
The latest round of cuts will affect workers at Porsche’s main plant in Zuffenhausen and its research and development site in Weissach. The Porsche Taycan electric four-door sports sedan is manufactured at Zuffenhausen, while the Macan EV crossover is built in Leipzig.
“Porsche is still in a comparatively good position,” a spokesperson told Automotive News. “But there are many challenges to overcome—such as the delayed ramp-up of electromobility or the challenging geopolitical and economic conditions.”
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The company plans to reduce the number of jobs at the two sites by 15% by 2029. Last year, Porsche started cutting jobs by not renewing the contracts of 1,500 fixed-term employees, with another 500 now coming to an end. However, these cuts were determined as “insufficient,” the spokesperson said.
Porsche hopes to avoid forced layoffs, instead reducing the headcount through voluntary measures like early retirement and severance packages. It will also adopt a “restrictive approach” to new hires.
Last year, Porsche delivered 310,718 vehicles worldwide, a 3% decline compared to 2023. In China, the automaker saw a significant decline of 28%. Globally, the company delivered 20,836 Taycan EVs last year, 49% fewer than in 2023.
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Earlier this month, the sportscar maker best known for the iconic 911 said it will focus more on combustion and hybrid powertrains, which could see profit margins fall to between 10% to 12%. This year alone, Porsche will spend $831 million on product expansion and development related to combustion and hybrid powertrains.
Last year, Automobilwoche reported that Porsche was struggling with the development of its next-generation all-electric 718 Boxster. The battery-powered Cayenne SUV has reportedly also been delayed, and the Macan, which was supposed to be sold only as an EV, could gain a combustion-powered version.
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