BMW Plans Job Cuts in Europe

MUNICH—BMW said it plans to slash thousands of jobs in Europe next year as part of a new cost-cutting effort.

According to a report in Der Spiegel, the automaker could trim as many as 8,000 jobs in 2008. A report in the Associated Press quoted a BMW spokesman as saying many of the cuts could come in Germany and would likely involve temporary workers. BMW’s worldwide employment, including its South Carolina assembly plant, is just over 100,000.

The company said costs related to raw materials and new product development have risen in the past year, eating into profits. In the first nine months, BMW said total revenues rose to $58 billion, but profits fell to $3 billion.