According to reports by The Wall Street Journal, these losses are set to hit the company’s automation segment at its Digital Industries division and its EV charging business, with the layoffs expected to take effect by the end of fiscal 2025.
This is significant for the company and would be the biggest series of lay-offs since 2017.
Siemens employs over 300,000 people worldwide and is attributing these job losses to declining demand, especially in some of its key markets such as China and Germany.
Siemens has also blamed its decision on competitive pressures, and it has seen a sharp drop in orders and revenue within the industrial automation sector.
According to The Wall Street Journal the company has been struggling with intense price competition and limited growth potential for low-power charging stations as a result of challenges affecting the wider electric vehicle charging market.
The company’s Digital Industries segment has historically been its most profitable division but in its most recent quarter, profits fell by one-third.
Challenging times, but Siemens is not alone. A growing number of companies have been announcing significant job losses – VW and Nissan among them.
