Automaker Porsche is reportedly preparing to significantly scale back operations at its battery subsidiary, Cellforce Group. According to reports, the company has notified the Reutlingen labor agency of plans to eliminate approximately 200 of the 286 positions at its Kirchentellinsfurt facility. A small research and development unit is expected to remain.
Porsche has not yet publicly commented on the situation. The company announced in late April its intention to discontinue independent operation of the battery cell subsidiary and had been actively seeking potential investors. Representatives from BMW visited the facility earlier this month; reports also suggest interest from defense companies exploring the possibility of utilizing battery technology for military drones. BMW has declined to comment on its visit.
The decision marks a considerable shift for Porsche, which, under the leadership of Oliver Blume, had aimed to establish itself as a leader in electric vehicle technology through in-house battery production. The move potentially jeopardizes those ambitions as Blume also heads the Volkswagen Group.
All Cellforce employees have been summoned to a general assembly scheduled for Monday, where Porsche’s Development Board Member, Michael Steiner, will address the situation. Many Cellforce employees face potential unemployment as the subsidiary does not offer the same employment guarantees as its parent company.
A works council election is scheduled for September. IG Metall Reutlingen representative Kai Lamparter has urged Porsche to refrain from issuing mass redundancies before the new works council is established.
The development is also drawing scrutiny from political circles. CEO Blume is scheduled to meet with Winfried Kretschmann, Minister President of Baden-Württemberg, today. The state government previously provided Cellforce with a financial grant totaling several million euros and may now seek to reclaim those funds.
