Bosch BSH Home Appliances Huge Layoffs: Bosch Announces 3,500 Job Reductions in Home Appliances Unit for Cost Reduction

Bosch BSH Home Appliances Huge Layoffs

Bosch BSH Home Appliances Huge Layoffs: According to the latest report, Bosch announced on Friday, February 23, 2024, that it will be cutting 3,500 jobs over the next three years, by the year 2024.

Bosch BSH Home Appliances Huge Layoffs and Cut 3,500 Jobs by 2027

In the latest wave of cutbacks within German manufacturers, the Bosch group announced on Friday its decision to eliminate 3,500 jobs at its BSH home appliances subsidiary by 2027. This move is a response to challenges posed by rising costs and weakened demand in the industry.

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Strategic Decision to Safeguard Competitiveness

BSH emphasized the necessity to “reduce complexity and costs” to safeguard its competitiveness in a challenging economic environment. The company highlighted the importance of reviewing existing structures and adapting to new growth markets, including adjustments to personnel structures and costs in line with emerging requirements.

Bosch BSH Home Appliances Huge Layoffs
Bosch BSH Home Appliances Huge Layoffs

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Impact on the Global Workforce

The global job reduction will predominantly affect “indirect” workers, particularly those in administrative positions. BSH specified that approximately 1,000 jobs are set to be cut within the current year.

Founded as a joint venture by Bosch and Siemens in 1967, BSH became a wholly-owned Bosch subsidiary almost a decade ago. The company employs around 60,000 people globally, with 17,000 of them based in Germany.

Germany’s industrial sector, once formidable, is grappling with a downturn exacerbated by soaring energy costs following Russia’s war in Ukraine, higher interest rates, and a decline in exports.

Industry-Wide Job Cuts and Economic Transformations

Bosch BSH Home Appliances Huge LayoffsThe Bosch group had previously announced plans in December to cut 1,500 jobs in its auto supply business, aligning with the significant changes occurring in Germany’s crucial car industry, particularly the shift towards electric vehicles. BSH’s rival Miele also revealed plans to eliminate up to 2,700 jobs as part of a broader cost-cutting initiative. Notably, chemicals giant Bayer and rival BASF joined the trend, with both companies announcing significant job reductions in response to ongoing industry challenges. BASF, in particular, unveiled a one-billion-euro savings plan along with the declaration of “further job cuts” on Friday.




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