German Railways to Cut 6,000 Cargo Jobs

German Railways to Cut 6,000 Jobs at Cargo Subsidiary German Railways to Cut 6,000 Jobs at Cargo Subsidiary
German Railways to Cut 6,000 Jobs at Cargo Subsidiary, Credit: AFP.

Germany’s state-owned railway, Deutsche Bahn, announced on Thursday that it plans to reduce about 6,000 positions at its cargo subsidiary, DB Cargo, as part of efforts to improve profitability and reduce reliance on government support.

In a blog post, the company said the restructuring “envisages a reduction of approximately 6,000 jobs at DB Cargo” and emphasised that the process would be handled in a socially responsible manner.

DB Cargo, which has been operating at a loss, is also under scrutiny by the European Union for potential state aid violations, with a decision expected in October.

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German Railways to Cut 6,000 Jobs at Cargo Subsidiary
German Railways to Cut 6,000 Jobs at Cargo Subsidiary. Credit: Railmarket.

Deutsche Bahn noted that cutting roughly half of DB Cargo’s workforce would help the subsidiary operate independently.

The company explained that the plan aims “to align DB Cargo with European growth markets, streamline structures and thus make it sustainably profitable.”

It added that the restructuring would also enable the company to comply with the conditions of an EU competition procedure.

This move marks one of the most significant workforce reductions in DB Cargo’s history as the firm seeks to stabilize operations while meeting EU regulatory requirements.

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