BERLIN (Reuters) – Robert Bosch (NS:), the world’s largest auto parts supplier, will reduce working hours and wages for about 10,000 employees in Germany, going beyond previously announced cuts and on top of thousands of job cuts announced on Friday.
In the latest sign of the challenges facing Germany’s auto sector due to weak demand and competition from cheaper Chinese rivals, Bosch had said on Friday it would cut up to 5,550 jobs, a day after announcing it would cut working hours would cut 450 employees.
Staff who mainly have 38- or 40-hour contracts at locations in Germany will have their hours reduced to 35 hours, a spokesperson said on Saturday, confirming a report from the dpa news agency.
The slowdown in the German auto sector has also shaken Volkswagen (ETR:), which is in an escalating dispute with workers over plans to close factories in Germany, and Mercedes, which has pledged to implement tougher cost cuts.
