Porsche could face another 4,100 job cuts as parent company Volkswagen pushes ahead with its massive restructuring plan, according to German business daily Handelsblatt.

Documents reportedly presented to Volkswagen’s supervisory board call for the reduction to address around €700 million (approximately $804 million) in overhead costs at Porsche. The reported cuts would be in addition to previously agreed measures.

Porsche management and labor representatives agreed in July to eliminate another 5,000 positions, following an earlier agreement covering 4,000 jobs. If all measures proceed, roughly one in five Porsche employees could be affected by 2035. Volkswagen can recommend the additional cuts but cannot mandate them at Porsche.

Both Volkswagen and Porsche declined to comment on the latest report. 

The restructuring comes as Porsche faces mounting financial pressure. Volkswagen recently lowered its 2026 operating margin target to as little as 1%, down from its previous 4.0–5.5% target, partly due to a major writedown at Porsche.

CEO Michael Leiters is now under pressure to turn the brand around amid declining sales in China and the costly reversal of its EV strategy.