German automotive supplier ZF Friedrichshafen plans to cut between 11,000 and 14,000 jobs in the country by the end of 2028, the company announced.
The exact extent of the job cuts, and which ZF locations will be affected, will now be determined, the company said. ZF employs a total of 54,000 people across Germany.
The company plans to merge and consolidate production locations in Germany to "create an efficient production network," ZF board member Peter Laier said in a press release announcing the plans.
"Our corporate responsibility is to position ZF for the future and to further develop our locations in Germany in such a way that they are sustainably competitive and solidly positioned," chief executive Holger Klein said. "We are aware that we also must make difficult but necessary decisions to achieve this."
Klein had previously said in April that the company's current workforce size in Germany is not sustainable in the long term.
The company said it planned to make the cuts in a "socially responsible manner as much as possible" by offering retirement and severance packages.
Labour leaders at the company on Friday announced their intention of fighting the cuts and blamed company management for financial troubles at the auto parts supplier.
"We will fight for every single job," said ZF Works Council Chairman Achim Dietrich.
He called the job cuts announcement a distraction from managerial failure and the important work of servicing customers and transforming the company. He promised "fierce resistance."
Worldwide, the company employs around 169,000 people at more than 160 production locations in 31 countries. In 2023, the company generated total sales of around €46.6 billion ($50.6 billion).
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