Audi Volkswagen, Despite Sales Cliff 'Boritgogae', Did Not Reduce Staff

Audi Volkswagen Faces Two-Year Sales Cliff After Dieselgate
Strives to Maintain Workforce Despite Business Suspension
Group Employee Count Up 10% in Three Years
Based on Mid-to-Long-Term Plan, This Year Expected to See Highest Sales in Five Years

[Asia Economy Reporter Su-yeon Woo] Audi Volkswagen Korea has been steadily maintaining its workforce and striving for employment stability despite the 'sales cliff' following the dieselgate scandal in 2015. Thanks to efforts to normalize management after resuming sales, Audi Volkswagen is expected to achieve annual sales of 42,000 units this year, the highest level in five years.

According to Audi Volkswagen on the 17th, the number of group employees, which was 196 in 2017, increased by more than 10% to 217 as of 2020 in just three years. Currently, 83% of managerial positions are held by Koreans, an increase of more than 20 percentage points compared to 2017, and the proportion of female managers is also recorded at 30%.

Once aiming for annual sales of 70,000 units, Audi Volkswagen Korea faced a two-year sales suspension due to the 2015 emissions certification manipulation incident. Annual sales in 2016 dropped to about half, and the company had to endure a 'lean period' with virtually halted operations until the first quarter of 2018.

Despite these circumstances, Audi Volkswagen increased its workforce and focused on normalizing management. They supported customized programs for training executives and middle managers and increased investments in the dealer network, preparing mid- to long-term plans looking ahead three to four years.

Over the past three years, Audi Volkswagen has increased investments in the dealer network and worked to maintain dealer employment. They invested 268 billion KRW in the dealer network over three years, increasing the number of showrooms and service centers from 147 in 2017 to 163. Additionally, including indirect employment such as dealer sales staff, they have maintained an average of about 3,700 jobs annually since 2016. Efforts were also made to improve the work environment by fostering a flexible organizational culture. They introduced various systems reflecting the characteristics of a global company, such as a horizontal organizational culture and work-life balance, to enhance job satisfaction.

Audi Volkswagen plans to increase its contribution to Korean society with 5 billion KRW in social contribution investments over the next two years. The group is particularly interested in the 'education' sector for social contributions. Audi Volkswagen operates the representative educational project 'Tomorrow School,' offering classes in both online and offline formats to help students understand future car technologies and principles.

The results of steady job creation, organizational strengthening, and investment in Korean society have led to a recovery in performance this year. The four brands under Audi Volkswagen Korea (Audi, Volkswagen, Bentley, Lamborghini) are expected to achieve sales of about 42,000 units, a 102% increase compared to the previous year. Next year, the Audi Volkswagen Group plans to accelerate recovery in the Korean market by launching more than 20 new and facelift models.

This content was produced with the assistance of AI translation services.