(Sharecast News) - Volkswagen is working on a major overhaul of its operations, drawing up plans to cut up to 100,000 jobs and stop production at four of its manufacturing sites in Germany, according to media reports on Friday.

According to German business publication Manager Magazin, boss Oliver Blume has plans to "drastically intensify job cuts" and to spin off the core VW brand into a new company and separate its parts operations into individual entities.

The layoffs extend an existing workforce reduction programme to cut 50,000 roles.

Citing sources close to the company, the report stated that Volkswagen is looking to slash planned investment by 15% to €130bn over the next five years.



As part of the plans, VW is looking to end production at manufacturing facilities in Hanover, Zwickau and Emden, and an Audi site in Neckarsulm, once production on current models comes to an end.

Volkswagen has declined to confirm the reports, though the IG Metall union in Germany has vowed to "do everything in our power to prevent [the plans]".

Volkswagen AG shares were down 0.5% at €78.25 by 1145 BST.

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