BMW to cut one in five management roles
The German carmaker wants to reduce its organisational structure by 20 per cent by mid-2027.
BMW wants to reduce the number of departments and associated management roles by a fifth by mid-2027. The company says it wants to make the organisation faster and simpler; the measure comes alongside an earlier-announced voluntary jobs programme.
The target was announced during BMW's Capital Market Day on 29 and 30 September. According to reports, it initially concerns the relatively large layer of department directors and comparable roles. BMW says the effects would also be felt at lower management levels.
The 20 per cent therefore does not refer to a fifth of all employees. The manufacturer has not said that exactly 20 per cent of its total workforce will disappear. Nor is it known how many positions in absolute terms fall under the new target.
BMW had already announced a voluntary departure programme for almost all areas outside production. According to Tagesschau, it mainly concerns roles in administration, sales and development. Production at German factories was excluded from those earlier plans.
Senior executive Milan Nedeljković links the reorganisation to costs and competitiveness. In his view, the organisation in Munich is too large. The company wants to speed up decision-making and prevent its cost structure from hampering it in competition on the global market.
The reorganisation is taking place while German carmakers are under pressure in the Chinese market. Tagesschau reported in July that German brands had sold 20 to 30 per cent fewer cars there in the preceding months than a year earlier. That figure describes the market situation at the time and is not a current BMW forecast.
For employees, the distinction between management roles and production means the effects may be uneven. For shareholders, a simpler structure may promise lower costs, but the savings depend on implementation and on whether knowledge and development capacity are retained. BMW has not yet published an independent evaluation of those effects.
One story, several perspectives
What is established
- BMW has announced a target to reduce management roles by mid-2027.
- The measure is not the same as reducing the total workforce by 20 per cent.
- BMW also has an earlier voluntary jobs programme for non-production roles.
- The German car industry is under pressure from competition and changing sales in China.
Left
Arguments A reorganisation should not primarily shift risks on to employees. The emphasis should be on job security, training and public support for industrial transition, so that cost-cutting does not lead to a loss of knowledge and regional jobs.
Values Job security, solidarity, strong employment conditions and strategic industrial policy.
Consequences More consultation with works councils and possibly conditions attached to support; this could slow the reorganisation but limit social harm.
Centre
Arguments BMW must adapt its organisation to changing markets, but employees and the government have an interest in predictability. A combination of voluntary departures, redeployment and targeted training is more appropriate than indiscriminate cuts.
Values Competitiveness, social stability, proportionality and institutional consultation.
Consequences Costs may fall gradually, while production and development capacity are preserved as far as possible.
Right
Arguments A private company must be able to cut management layers when they hamper speed and price competitiveness. Government intervention can delay necessary adjustments and make companies less agile.
Values Enterprise, corporate responsibility, efficiency and international competitiveness.
Consequences A faster reorganisation could improve BMW's position, but employees in support roles face a greater risk of losing their jobs.
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 announced management reduction and the context of earlier workforce plans have been checked against public sources. The text avoids an unsupported translation of 20 per cent of management roles into 20 per cent of all jobs.
- confirmed BMW wants to reduce the number of departments and assigned management roles by 20 per cent by mid-2027. — Reported by Merkur in connection with BMW's Capital Market Day; the event is listed on BMW's investor page. source
- confirmed The 20 per cent does not automatically refer to the total workforce. — The reporting describes the measure as a reduction in management and department roles. source
- confirmed An earlier voluntary jobs programme targeted roles outside production. — Described by Tagesschau. source
- confirmed German car brands sold 20 to 30 per cent fewer cars in China in the preceding months. — This figure appeared in the Tagesschau context in July 2026. source
Editor's note
The 20 per cent target concerns management roles and does not automatically refer to the total workforce. The exact number of positions affected and the eventual impact on staffing have not been publicly established.Sources
More on this in Dutch media
- NOS — „bmw auto-industrie”
- Het Parool — „bmw auto-industrie”
- de Volkskrant — „bmw auto-industrie”