- David Powels, CFO of Seat, will replace Patrik Andreas Mayer as Volkswagen’s new Chief Financial Officer.
- Mayer will transition to Seat in Spain, where Powels is currently CFO.
- Volkswagen faces financial difficulties, with its core brand struggling with low profitability and cost-cutting measures.
Wolfsburg, 9 September (FinanceFlashNews) – Volkswagen Group has announced a leadership change in its financial department, confirming that Patrik Andreas Mayer, the current CFO, will step down and be replaced by David Powels, the CFO of Volkswagen’s subsidiary Seat. The news was first reported by Manager-Magazin, and the move comes as Volkswagen faces significant financial challenges.
Mayer, who has been Volkswagen’s CFO since October 2022, will now take over the financial helm at Seat in Spain, swapping roles with Powels. This change comes at a time when Volkswagen’s core VW brand is underperforming in terms of profitability.
Last week, the company revealed its intention to end its job guarantee with employees, which was initially agreed upon until 2029. Factories in Germany may be forced to reduce capacity and cut costs, potentially leading to mandatory layoffs. The Executive Board has expressed that the cost-cutting program launched in 2023, which included voluntary reductions in administrative positions and early retirement incentives, is no longer sufficient given the current difficulties in the automotive industry.
While details on further cost-cutting measures have not been disclosed, the company’s employee council and labor union IG Metall have vowed to resist such changes. According to Manager-Magazin, Mayer’s departure might be linked to his push to utilize innovation funds in pursuit of cost savings, though these funds were earmarked for future projects.
Keywords: Volkswagen, David Powels, Patrik Andreas Mayer, Seat, cost-cutting
