Will the EV boom see fewer jobs?

Automotive manufacturers moving to electric vehicle production could mean fewer automotive industry jobs worldwide.

That’s the speculation among media such as The Associated Press, particularly with Volkswagen aiming to produce 22 million EVs in 10 years with nearly 70 new EV models in that time.

VW Group wants to completely decarbonise by 2050.

Its switch in Zwickau in east Germany where the auto industry has been for 115 years will see VW’s first all-electric vehicle plant established.

The electric transformation raises questions about the long-term prospects of the auto industry, which employs 840,000 people in Germany and millions worldwide, as a source of jobs for communities like Zwickau, AAP reports.

“Fewer workers will likely be needed, with different skills. And there is no mass market yet for battery-only cars,” it says.

Main concerns revolve around the fewer parts needs for EVs. An electric drivetrain has 150-250 parts compared with 2000-3000 metal parts in an internal combustion engine (ICE) vehicle.

Much of the automotive work in newer factories is also done by robots.

The Frauenhofer Institute for Industrial Engineering in Stuttgart estimates 23,000 to 97,000 German jobs could go missing in power train production by 2030, AAP says.

At Zwickau, about 350 robots will produce the battery electric WV ID.3 expected to be launched next year, with 8000 workers undergoing retraining.

VW has promised no compulsory layoffs in Zwickau before 2025 but says it could cut headquarters administrative staff by 5000-7000.

From 2021, the Zwickau plant could produce 330,000 cars a year across six models.

General Motors aims to shut four US factories and one in Canada with about 5900 job losses, along with an additional 8000 white-collar workers.

Ford plans to cut about 7000 white-collar jobs.