Starting August 1, 2027, Bosch will transition four of its divisions—Mobility, Bosch Digital, Global Business Services, and Global Real Estate—into independent, wholly-owned subsidiaries. The Mobility unit will operate as a separate group, while the other three will form an Independent Service Division. This move aims to increase flexibility and competitiveness amid rising pressure from Asian rivals.
The restructuring affects approximately 62,500 employees in Germany, whose contracts are expected to transfer to the new entities. Following the spin-off, the parent company, Robert Bosch GmbH, will focus exclusively on corporate headquarters and central research and development, employing over 3,000 people. Management states that the reorganization does not involve additional job cuts.
Industry analysts and unions suggest that establishing independent legal entities simplifies potential future partnerships, partial sales, or stock market listings for specific divisions. While Bosch maintains that all units will remain part of the group, employee representatives express concern regarding potential long-term impacts on wage structures and cost-cutting measures.
The company is currently navigating significant market challenges, leading to separate downsizing efforts outside of this structural change. Bosch previously announced plans to eliminate 22,000 jobs in its Mobility division last year and is currently planning to cut approximately 900 positions at its Nuremberg site, a move that has faced criticism from labor unions.
