Bajaj Mobility AG to Reduce Workforce by 500 Employees in Global Rightsizing Initiative

Bajaj Mobility AG has announced a "global rightsizing" initiative that will result in the reduction of approximately 500 employees at KTM AG. This move is part of a broader strategy to enhance competitiveness by cutting fixed costs and refining organisational structures. The company aims to optimise its product and project portfolio while improving its international management network.

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In November last year, Bajaj Auto, based in Pune, acquired a majority stake in KTM, an Austrian motorcycle manufacturer. This acquisition marked a shift from being a passive minority investor to becoming the primary owner of KTM through Bajaj Auto International Holdings BV, a wholly-owned subsidiary.

Focus on Long-term Competitiveness

The restructuring process is expected to be completed by 2025. Bajaj Mobility AG, previously known as PIERER Mobility AG, is the holding entity for the KTM Group. The group includes notable brands such as KTM, Husqvarna, and GASGAS, making it one of Europe's leading motorcycle manufacturers.

The company reported having 3,794 employees as of December 31, 2025. The planned reduction will primarily affect white-collar positions and middle management roles. This realignment is deemed necessary to maintain long-term competitiveness in the global market.

Strategic Realignment and Workforce Reduction

"Following the successful completion of the restructuring process in 2025, KTM AG is initiating a global rightsizing programme. The aim is to strengthen competitiveness in the long term by reducing fixed costs, streamlining structures, focusing the product and project portfolio, and optimizing our international location and management network," Bajaj Mobility AG stated in a filing shared by Bajaj Auto on the BSE.

This strategic move underscores Bajaj Mobility AG's commitment to adapting to changing market conditions. By focusing on efficiency and cost-effectiveness, the company aims to secure its position as a leader in the motorcycle industry.

With inputs from PTI