BASF CEO Markus Kamieth confirmed to the “Handelsblatt” that the company’s new cost-cutting program, announced on Wednesday, is expected to lead to further job reductions across the corporation. Kamieth described the initiative as one of BASF’s largest optimization programs-a new operational system for the conglomerate that will result in a streamlined core business with reduced staffing levels.
This program, named “Core Shift” aims to unify and tighten the organization and processes of the newly defined core business. It currently affects operations generating €40 billion in revenue. A significant portion of the targeted savings will come from reducing personnel costs. The objective is to lower the pay-as-you-go fixed costs within the core business by up to 20% by 2029, using 2024 costs as the baseline.
When asked for a specific figure regarding the achievable savings volume, Kamieth declined to provide one. He also addressed potential concerns about the economic climate, clarifying that the project was not a reaction to worsening market conditions. Instead, he stated that the initiative had been integrated into the company’s strategy presented in 2024 and was now moving into execution.
