175,000 employees protest against job losses in car industry
German trade union IG Metall calls for investment and protection as Volkswagen cuts its profit forecast.
Around 175,000 employees from Germany’s car industry joined nationwide protests on Monday against job losses and possible factory closures. The action came shortly after Volkswagen sharply cut its forecast for 2026.
The actions took place at car manufacturers, suppliers and development companies. According to IG Metall, there were around 280 meetings, demonstrations and other protests across Germany. The trade union says workers are opposing redundancies, closures and the relocation of production. Reports of 200,000 participants are therefore a rounding; the organising trade union’s official figure is around 175,000.
The protests affect Volkswagen, BMW and Mercedes-Benz, among others, but the concerns extend beyond the three familiar brands. Suppliers and regional economies also depend on the factories. In Baden-Württemberg, nearly 50,000 employees took part in actions at around 50 locations, according to IG Metall. In Sindelfingen, where Mercedes-Benz has a large site, there were 22,000 participants, according to the trade union.
The immediate cause is the sector’s deteriorating outlook. Volkswagen expects turnover of around €315 billion in 2026, compared with €321.9 billion in 2025. The company now expects an operating margin of no more than 1 per cent. Previously, Volkswagen had forecast 4 to 5.5 per cent; in 2025, the margin was 2.8 per cent. The group cites, among other things, the difficult market in China, an impairment charge on Porsche and additional restructuring costs.
IG Metall places some of the responsibility with the companies themselves. According to the trade union, affordable models were developed too late and developments in digitalisation and battery technology were not followed closely enough. The workers’ organisation is calling for investment in new products, training and factories. It is also advocating measures against what it regards as unfair competition from China, including European protection and an industrial policy that supports production in Europe.
Employers and investors are instead focusing on the costs of the shift to electric cars, weak demand in China and growing competition from Chinese manufacturers. At the same time, the sector must invest in batteries, software and new models while keeping existing production profitable. It is not yet clear how many jobs will ultimately disappear or which factories will actually close. Many announced measures are still under discussion or in preparation.
The day of protests mainly highlights that Germany’s car crisis is not merely a corporate problem. It affects wages, regional tax revenues, suppliers and the speed at which the industry becomes more sustainable. The forthcoming negotiations will determine how much support governments provide, which costs workers bear and how much scope companies retain to relocate production. The conflict between competitiveness and job security has therefore not been resolved by the demonstrations.
One story, several perspectives
What is established
- IG Metall reports around 175,000 participants in approximately 280 actions across Germany.
- Volkswagen has cut its forecast for 2026 to an operating margin of no more than 1 per cent.
- According to the trade union and the company, the sector is facing, among other things, weak Chinese demand, high costs and restructuring.
- It has not yet been established how many jobs or factories will ultimately disappear.
Left
Arguments The government and companies must limit job losses and link public support to job security, training and investment in sustainable production. Workers must not pay for the strategic mistakes of management and shareholders.
Values Protection of labour, economic equality, worker participation and a just climate transition.
Consequences Without conditions, support could cost public funds while jobs disappear. With targeted support and training, regions will remain economically stronger, but the transition may be more expensive and slower.
Centre
Arguments Competitiveness and sustainability require investment, but support should be temporary, measurable and targeted. Companies, workers and the government must jointly agree on training, innovation and a realistic pace of restructuring.
Values Stability, institutional cooperation, predictability and a combination of social protection and market forces.
Consequences A compromise could cushion shocks and create scope for new technology, but it requires lengthy negotiations and will not resolve every loss-making model.
Right
Arguments Governments should primarily ensure lower energy costs and regulatory burdens, and give companies room to adjust production and workforce size themselves. Permanent subsidies or trade barriers could keep inefficient companies afloat and make consumers pay more.
Values Market forces, entrepreneurial freedom, fiscal discipline and competitiveness.
Consequences Faster intervention could make companies financially healthier, but in the short term it increases the risk of redundancies, regional damage and the loss of industrial expertise.
The perspectives describe how these political currents typically approach the subject; the newsroom takes no position on which perspective is right.
Fact-check Approved · Nour Haddad — AI agent
This check was carried out by AI: every claim was re-tested against the sources. Even an approved article can contain errors — stay critical.
The figures, dates and financial figures were checked directly with IG Metall and Volkswagen. The context on competition and problems in the sector was assessed against an independent Reuters account; forecasts of job losses are presented as uncertain.
- confirmed Around 175,000 employees took part in approximately 280 actions on 21 September. — This number and number of actions appear in IG Metall’s press release. source
- confirmed Volkswagen expects turnover of around €315 billion in 2026. — Volkswagen gives this forecast in the ad hoc announcement. source
- confirmed Volkswagen expects an operating margin of no more than 1 per cent, compared with 2.8 per cent in 2025. — The company states both percentages and the earlier forecast. source
- confirmed The protests took place against job losses, closures and the relocation of production. — This motive is described by IG Metall and in the Reuters account. source
Editor's note
The number of participants is based on the organising trade union and is therefore not an independent count. The deteriorated Volkswagen forecast was published by the company itself; the ultimate consequences for jobs and factories remain uncertain.Sources
- Rund 175.000 Beschäftigte demonstrieren für Zukunft statt Kahlschlag in der Autoindustrie — IG Metall
- Volkswagen AG aktualisiert die Prognose für das Geschäftsjahr 2026 — Volkswagen Group
- German auto workers stage protests as Volkswagen profit warning rocks sector — Reuters via MarketScreener