BASF announced that it would cut around 6000 jobs worldwide by 2021, with half of those slashed in Germany. The workforce reductions will impact operations globally and are expected to generate savings of €300 million.
In a statement, the company said the move was an “organisational realignment” that would “streamline administration and simplify processes”, as part of an overall aim to have a smaller corporate headquarters and a stronger role for regional operations.
The majority of the jobs being cut in Germany will affect the company headquarters in Ludwigshafen, where 40,000 people are employed.
BASF CEO Martin Brudermüller said he wants to implement massive savings in all areas – in production and logistics as well as in research and development – and to sell off BASF subsidiaries.
Brudermüller is targeting a €2 billion earnings boost as he simplifies BASF and makes it more in tune with rapidly changing markets.