BMW is preparing to reduce its global workforce by up to 5%, cutting roughly 8,000 positions by the end of 2027 following a disappointing first half of its 2026 fiscal year.
The restructuring plan, negotiated alongside its employee Works Council, focuses primarily on voluntary layoffs for white-collar staff to avoid impacting factory floor production capacity.
Motorcycles Seemed to Do Pretty Well, Though
The corporate belt-tightening is largely driven by a steep sales decline in the automotive sector, particularly within the crucial Chinese market.
Total BMW Group vehicle deliveries fell 4.2% in the first six months of the year, causing automotive revenue to drop 7.4% to €54.3 billion ($62.6 billion).
Coupled with broader industry pressures like geopolitical tension and shifting regional regulations, the company’s net profit for the half-year plummeted 28.5% to €2.8 billion ($3.3 billion) compared to the same period in 2025.
By comparison, the motorcycle division weathered the financial storm far better.
BMW Motorrad delivered 102,847 motorcycles in the first half of the year, down just 2.9% from the 105,909 units shipped in 2025. Division revenue saw a minor 3.3% decline, falling from €1.77 billion to €1.71 billion ($1.97 billion).
Despite Motorrad’s relative stability, the broader group must cut operational costs to remain competitive.
Board Chairman Milan Nedeljković emphasized the need to reshape corporate processes and build a leaner organization.
The workforce reductions form a central pillar of that long-term plan as BMW navigates an increasingly challenging global landscape.
Sources: Motorcycle.com, RideApart
