Core Insights - Siemens plans to cut over 6,000 jobs globally due to weak demand and increased competition, particularly in China and Germany [1][2] - The job reductions represent about 2% of Siemens's global workforce, primarily affecting the factory automation unit and a smaller portion in the electric vehicle charging business [2][4] Group 1: Job Cuts and Affected Units - Approximately 5,600 job cuts will occur in the automation business, which includes robotics and industrial software, with about half of these roles lost in Germany [4] - The vehicle charging business will see a reduction of 450 positions from a total of 1,300 employees worldwide by the end of the current financial year [5] Group 2: Market Conditions and Financial Impact - Demand in key markets, particularly China and Germany, is described as muted, leading to reduced orders and revenue in the industrial automation sector [2][6] - Siemens's earnings were negatively impacted by issues in the automation unit, with quarterly operating profit declining to 2.5 billion euros ($2.7 billion) from 2.7 billion euros a year earlier [4] Group 3: Strategic Focus and Future Plans - The company aims to strengthen future competitiveness and enable investments in growth markets through these job cuts [3] - Siemens plans to shift focus in its vehicle charging business towards fast-charging infrastructure due to limited growth potential for low-power charging stations [5]
Germany's Siemens to cut over 6,000 jobs worldwide