European companies announce major layoffs amid economic lowdown

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UCapital Media

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Several major European companies have announced hiring freezes and job cuts in 2025, citing weak economic growth, high operating costs, and the impact of U.S. trade restrictions.



Analysts link the wave of layoffs to slowing business activity across the eurozone, rising production and raw material costs, and growing uncertainty in global markets. Many firms are aiming not only to reduce staff but also to achieve significant cost savings – Volvo Cars, for example, targets about $1.9 billion in savings, while Nestlé expects to cut expenses by 3 billion Swiss francs.


Automotive Industry

  1. Bosch – cutting 13,000 jobs amid weak demand and high costs.
  2. Daimler Truck – eliminating 2,000 positions in the U.S. and Mexico, in addition to 5,000 already announced in Germany
  3. Renault – planning to cut around 3,000 jobs in support services under its “Arrow” cost-saving program
  4. Stellantis – expanding its voluntary redundancy plan in Italy to nearly 2,500 workers in 2025
  5. Volkswagen – reduced its German workforce by around 7,000 employees since late 2023
  6. Volvo Cars – cutting about 3,000 white-collar jobs as part of a restructuring plan expected to save 18 billion SEK (approximately $1.9 billion)


Banking Sector

  1. Commerzbank – plans to eliminate around 3,900 jobs by 2028
  2. Lloyds Banking Group – considering cutting up to half of 3,000 positions to reduce costs


Energy and Industrial Sector

  1. OMV – Austrian oil and gas company to cut 2,000 jobs, or around 8% of its global workforce
  2. Sika – Swiss construction chemicals maker to cut up to 1,500 jobs, mainly in China
  3. STMicroelectronics – French-Italian chipmaker expects around 5,000 employees to leave over the next three years, including 2,800 job cuts in 2025


Consumer Goods

  1. Burberry – British luxury brand to lay off 1,700 employees, roughly 20% of its global workforce
  2. LVMH (Moët Hennessy Louis Vuitton) – wine and spirits division to cut about 1,200 jobs
  3. Nestlé – the world’s largest food company to cut 16,000 jobs, or 5.8% of its workforce, aiming to save 3 billion CHF by 2027


Other Sectors

  1. Just Eat Takeaway (Lieferando) – German unit to cut 2,000 jobs by the end of 2025 to optimize delivery operations
  2. Lufthansa – to eliminate 4,000 administrative roles by 2030