Due to the strict emission regulation package set by European Union (EU), automobile industries are leaning towards manufacturing electric cars. As Germany, being one of the popular hub for automobile industry, has been planning to launch more electric vehicles, it could risk more than 4 lakh jobs in Germany by 2030. According to a review by National Platform for the Future of Mobility, more than 85,000 jobs will be at risk in transmission and engine industry.
Manufacturing of electric cars needs fewer parts and they do not require high maintenance as compared to combustion engines, which are used in regular cars. Moreover, automobile manufacturing process will also be further automated and will be insufficient for the present level jobs that support the manufacturing process, according to German newspaper, Handelsblatt. This could result in high level of cut back in employment. According to the report in 2018, the employment in the German automobile industry was recorded at around 830,000, which was the highest since 2001. However, VDA, which is Germany’s major car industry body, announced in December that they will be reducing staff in 2020 because of major drop in global automobile sale.
Germany’s most important and largest industry as well as the key driver in Europe’s economic growth have now started developing plans to introduce more electric vehicles due to the rising pressure from European Union to cut carbon dioxide emission.