ZF Friedrichshafen layoffs

ZF reported that its worldwide workforce fell 5% during 2025 to 153,153 and said it remains on track with the previously announced reduction of 11,000 to 14,000 positions in Germany. The company says the capacity reduction is being implemented voluntarily through attrition, severance, partial retirement and reduced hours, while restructuring of its Electrified Powertrain Technology division continues in 2026.

ZF’s improved operating margin and cash flow offer some financial stabilization, but the ongoing German capacity reduction remains a strong caution signal. Candidates in electrified powertrain or German functions should verify whether a role sits in a protected product line, a replacement vacancy or a team using reduced hours or wage concessions. New business wins do not remove the broader restructuring risk.

ZF and employee representatives agreed a restructuring of the passenger-car electrified powertrain division that is expected to eliminate 7,600 jobs by 2030. The agreement keeps key electric-motor and inverter development and production in-house while using personnel measures and delayed wage increases to reduce costs.

This is a long-duration but substantial risk signal for powertrain engineering, production and supporting functions in Germany. Keeping core electric technologies in-house protects some capabilities, but candidates should ask whether the specific site, product and skill set are part of the retained core or the planned reduction.