Siemens to cut 6,000 jobs worldwide, mainly in Germany

Siemens, a major German industrial company, announced it will cut more than 6,000 jobs globally. This represents about 2 percent of its total workforce. The decision is mainly due to weak demand and rising competition in both China and Germany. Most of the job cuts will occur in Siemens' factory automation unit, which supplies machinery and software to factories. A smaller number of positions will be eliminated from its electric vehicle charging business. The company sees muted demand in key markets, particularly China and Germany, which has led to lower orders and revenue. Siemens stated that the layoffs aim to improve competitiveness and allow for investments in growth areas. The company has been facing challenges, as Germany's economy has been in recession for two years, and growth in China has slowed. By 2027, Siemens plans to cut about 5,600 positions from the automation unit, with half of those cuts taking place in Germany. The company's earnings were affected by issues in this sector, resulting in lower operating profits last year. In the electric vehicle charging division, Siemens is set to eliminate around 450 jobs out of 1,300. The firm intends to shift its focus towards fast-charging infrastructure instead of low-power charging stations. The market for electric cars has seen a downturn, impacting automakers and suppliers. Siemens aims to help some affected employees in Germany find new positions within the company. Some jobs will also be lost through retirements. As of late last year, Siemens employed approximately 313,000 people worldwide, including around 86,000 in Germany.