BMW aims to reduce its workforce by 8,000 positions by the end of 2025. To facilitate this, the company is offering severance packages, with some payments exceeding €650 000. The specific amount depends on the employee's age, tenure, and current salary.
Employees can receive the payout as a lump sum, in installments, or through contributions to retirement and insurance plans. Those departing by March 31, 2027, qualify for an additional 'Turbo Bonus'. A second departure deadline is set for October 31, 2027, without the bonus.
Staff turning 55 by October 31, 2025, may join the 'BMW pensioners' program, which includes vehicle discounts. High-ranking employees may also be permitted to purchase their current company cars. The high volume of interest caused technical issues on the company's portal.
CEO Milan Nedeljković intends to reduce annual costs by €1 billion starting in 2028. The goal is to increase the operating margin from 3% to 5% by 2028, with a long-term target of 8% to 10% by the early 2030s. The company also plans to launch 40 new or updated models by the end of 2027.
