Volkswagen's supervisory board approved on Thursday a transformation plan that includes cutting another 50,000 jobs to counter tariffs, overcapacity, and aggressive Chinese rivals. ^[1] Volkswagen said a further fundamental adjustment of the global workforce capacity was needed, including a reduction of around 50,000 positions worldwide in addition to a 50,000-job reduction already under way. ^[2] Volkswagen's board approved a restructuring plan that includes exploring alternatives for four German plants in Emden, Zwickau, Neckarsulm, and Hannover, which face phase-out from 2031 onwards. ^[3] CEO Oliver Blume stated in a statement that the plan is a strong signal for the future of the Volkswagen Group, emphasizing responsibility for the entire workforce, partners, and industrial jobs worldwide. ^[4] The deal simplifies Volkswagen's conglomerate structure and limits the influence of the group's supervisory board, where unions and Lower Saxony hold a majority, on key decisions. ^[5] Auto industry analyst Ferdinand Dudenhoeffer estimated that extending the work week to 40 hours would cut Volkswagen's hourly labor cost of €65 by nearly 13%, helping German plants maintain production. ^[6] Volkswagen has alleged that high domestic labor costs reduce its profits and necessitate cost cuts amid competition from cheaper foreign models. ^[7] Volkswagen is considering closing four plants in Germany as part of a restructuring effort to reduce costs. ^[8] The 35-hour work week is the standard full-time schedule for many production workers in Germany's metalworking industry, including the auto sector, due to strong unions and labor regulations. ^[9]