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Cariad boss Peter Bosch presented his “Plan to Restructure Cariad” on Wednesday.
Accordingly, the VW subsidiary wants to continue working on its futuristic E3 1.2 software and is keeping car manufacturers waiting.
In addition, almost a third of employees in Germany are to be laid off – which not everyone agrees with.
Last Wednesday, Peter Bosch — head of VW’s Cariad since January — presented his plan to reorganize the software company from the ground up. Main part of the plan: Employees have to be laid off and the company needs more time, reports the “Manager Magazine„.
Everyone involved was as hopeful as they were worried. In the past, things at Cariad didn’t always go the way the company wanted.
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This is in Peter Bosch’s “rescue plan” for Cariad
Love developed The software for all Volkswagen brands – from VW to Porsche to Audi. But the software company is lagging behind in development, especially when it comes to the electric car models Audi Q6 e-tron and Porsche Macan. The completion of the electronics and software was repeatedly delayed. The cars could not start as planned. They are now scheduled to come onto the market three years after the original launch date, probably during spring 2024.
Peter Bosch’s “Plan to Restructure Cariad” – also known internally as the “rescue plan” – is now intended to provide clarity and bring the company forward again. According to “Manager Magazin”, 2,000 of the 6,500 jobs in Germany will be cut by 2025 and around half of the 40 investments will be sold again. The aim of both measures: to drastically reduce annual expenditure, which currently amounts to almost 4 billion euros.
According to Peter Bosch, it will still take at least six months before the E3 1.2 software for the cars is functional and, above all, reliable. “Without the Cariad software, more than 60 new car models will not work,” reports “Manager Magazin”. Including the new VW “Trinity”. It is now scheduled to appear in 2028 instead of 2025. Also and Porsche long for new competitive cars to compete in the car market.
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The restructuring plan for Cariad has been criticized
The plan seems to find support within the VW Group. However, there are also doubts about this. Nevertheless, the company agreed to Bosch’s plan and said the goal was to transform Cariad “into a competitive and reliable software partner.” That’s why not everyone on the works council is as confident yet.
The works council leader Daniela Cavallo is rather unconvinced. One of her colleagues criticized the plan. Laying off so many people is incomprehensible. “It’s now a matter of getting the software for the new models ready as quickly as possible,” he told “Manager Magazin”. And further: “We need every man and every woman.” With fewer employees, it is not unlikely that production could take even longer.
Peter Bosch disagrees. His big goal is to put new cars on the road for the first time.
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