The decision, announced on Thursday, doubles the cuts first outlined in March, when Volkswagen said it would shed 50,000 roles by the end of the decade. Chief executive Oliver Blume had signalled in July that further reductions were under consideration.
The move is necessary to safeguard the company's competitiveness amid shifting demand and technological change, the company said. Volkswagen described the plan as a "strong signal" for the future of the firm and said it was "taking responsibility for our entire workforce."
The automaker — whose brands include Audi, Porsche, and Skoda — has been hit by a drop in profits driven by falling sales, fierce competition from Chinese brands, lacklustre demand in Europe, and the impact of US tariffs.
As part of the restructuring, Volkswagen will prioritise its "most compelling vehicles" and produce more units of each model to lower costs. The company also said a "fundamental adjustment of the global workforce capability is necessary" and that approximately 50,000 positions — including management roles — will be cut.
The company is also assessing the future of its plants in Emden, Zwickau, Hanover, and Neckarsulm, where production capacity currently exceeds demand. "Alternative uses for these plants are being assessed," Volkswagen said.
The 100,000 cuts represent roughly 8% of Volkswagen's global workforce, which stood at more than 660,000 employees as of 2025.