German Auto Parts Maker Continental To Cut 5000 Jobs Citing Transition to Electric Mobility

From FreightWaves:

Continental AG, the German auto parts giant, has announced that it will phase out over 5,000 jobs across various production plants in Germany, the U.S. and Italy, citing several reasons including the industry’s accelerated transition to electric mobility and the profitability of autonomous and connected driving.

The organizational restructuring will affect manufacturing plants in Roding, Limbach-Oberfrohna and Babenhausen in Germany, Virginia in the U.S., and Pisa, Italy. Though the confirmation came on Nov. 20, the plans to close manufacturing plants – and therefore the employees at those facilities – had been discussed in its supervisory board meeting on Sept. 25.

This apart, Continental’s supervisory board will convene again with the local works council in Rubí, Spain, to discuss the future prospects of the location’s manufacturing plant. The plant primarily produces analogy displays and controls, and currently employs 760 people.

Continental will shut down its business in hydraulic components for gasoline and diesel engines in the coming years, which is in line with its Transformation 2019-29 program that was established to bolster the company’s long-term prospects in the auto market....MUCH MORE