Internal restructuring
Location of affected unit(s)
Manufacture For Transport Equipment
Manufacture Of Motor Vehicles, Trailers And Semi-Trailers
29.1 - Manufacture of motor vehicles

1,200 - 1,600 jobs
Number of planned job losses
Job loss
Announcement Date
16 March 2007
Employment effect (start)
31 December 2007
Foreseen end date
31 December 2009


According to Volkswagen, the Spanish units of SEAT –the former Spanish car manufacturer now 100% owned by Volkswagen group- are planning to reduce 10% of their workforce. The reasons given are the two-year consecutive losses of the automotive giant. The company is not regarding direct dismissals but other measures such as voluntarily and collectively agreed early retirements (to employees older than 58) and bonuses and compensation to those quitting their jobs voluntarily. Losses in SEAT have been frequent since 2000 as a result of which there are plans to further reduce the workforce and upgrade the production. Volkswagen’s new CEO, Martin Winterkorn, expects the Spanish division of SEAT to become the sales leader in the Spanish car market.

On 4 April 2007 the trade unions and the company’s management agreed a voluntary reduction of 1,500 jobs in the previous terms (mentioned above). The company is seeking to strengthen its long term competitiveness in Spain, together with the manufacturing of two new models (Altea Freetrack and B1) at the factory in Martorell. Workers will have until May 2007 to apply for the voluntary measures. According to the company, between 700 and 800 workers will leave SEAT this year.

On 21 May 2007 it was known that all of the workers offered early retirement have accepted the deal as a result of which 800 employees will leave SEAT by the end of 2007. The remaining job cuts will take place by the end of 2009.


  • 17 April 2007: Cinco Días
  • 5 April 2007: Cinco Días
  • 4 April 2007: El Mundo
  • 17 March 2007: Cinco Días


Eurofound (2007), Seat, Internal restructuring in Spain, factsheet number 65086, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/65086.