Volkswagen to shed 30,000 jobs to cut costs after scandal

FILE - In a Tuesday, May 5, 2015 file photo, Volkswagen CEO Martin Winterkorn addresses the shareholders during the annual shareholder meeting of the car manufacturer Volkswagen in Hannover, Germany. Winterkorn on Wednesday, Sept. 23, 2015 said he is stepping down "in the interests of the company" as it grapples with the scandal over Volkswagen's evasion of U.S. emissions controls. (AP Photo/Frank Augstein, File)
FILE - In a Tuesday, May 5, 2015 file photo, Volkswagen CEO Martin Winterkorn addresses the shareholders during the annual shareholder meeting of the car manufacturer Volkswagen in Hannover, Germany. Winterkorn on Wednesday, Sept. 23, 2015 said he is stepping down "in the interests of the company" as it grapples with the scandal over Volkswagen's evasion of U.S. emissions controls. (AP Photo/Frank Augstein, File)

WOLFSBURG, Germany (AP) — Automaker Volkswagen says it will shed 30,000 jobs to cut costs as it tries to recover from its diesel emissions scandal and invests more in electric-powered vehicles and digital services.

Company officials said at a news conference at headquarters in Wolfsburg, Germany, that 23,000 of the job cuts will come in Germany. It said the measures will save some 3.7 billion euros a year from 2020.

Volkswagen has agreed to pay $15 billion under a settlement with U.S. authorities and owners of some 500,000 vehicles with software that turned off emissions controls. Around 11 million cars worldwide have the deceptive software.

The company has said it aims to cut nonessential costs and investments and shift investment toward battery-powered cars and services such as car-sharing and ride-sharing.

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