Bosch plans job cuts at household appliance division BSH

The technology group Bosch is once again planning to cut jobs - this time at its household appliance division BSH. "Based on the current business volume, BSH is planning to cut around 3,500 indirect jobs globally by the end of 2027, 1,000 of which will already be cut this year," a company spokesperson announced in Munich on Friday. In Germany, 450 jobs will be affected by the plans this year. According to the spokesperson, the indirect area includes administration. Production will not initially be affected.

The adjustments are to be implemented in a socially responsible manner. The Bosch domestic appliances division, which includes brands such as Bosch, Siemens, Gaggenau and Neff, intends to avoid redundancies. A special transformation unit has been set up to qualify affected employees in Germany for the internal and external job market. According to the spokesperson, BSH currently employs around 60,000 people worldwide, including around 17,000 in Germany.

According to the company, complexity and costs must be significantly reduced in order to ensure competitiveness and finance the necessary investments. This is particularly important in view of the rapidly changing market situation and the persistently difficult and declining economic situation. It is imperative to adapt the organization to the new strategy and the growth markets.

More than 7,000 jobs now affected across the Group

Bosch had recently announced plans to cut jobs in Germany on several occasions. Up to 3760 jobs in the supplier sector and the Power Tools division were previously under consideration. Together with BSH Hausgeräte, the latter forms the consumer goods pillar of the Group - and thus the second largest division. Power Tools manufactures power tools, garden tools and measuring technology, among other things.

However, both divisions have recently been hit by inflation and the weak economy. According to preliminary figures, the division generated more than a fifth of Bosch's turnover of 91.6 billion euros in 2023. However, the division was the only one to record a significant drop in sales last year. Bosch does not expect demand to pick up again until 2025.

Hartung: Will probably have to make do with fewer jobs in the future

At the end of 2023, Bosch had around 427,600 associates worldwide, 133,800 of them in Germany. When presenting the preliminary figures in February, CEO Stefan Hartung announced that the Group would probably have to manage with fewer employees in the future.

"Ultimately, this is about the difficult balance between economic and social responsibility," he said. The momentum of the market has slowed. The company must now react to the weaker order situation in order to remain competitive.