Bajaj Auto To Lay Off 500 Employees To Lower Costs

Bajaj Auto is laying off around 500 employees, predominantly in salaried positions and middle management, the company said in an exchange filing on Wednesday.

The headcount stands at 3,794 employees, as of Dec 31, 2025, as compared to the previous year of 5,310 employees.

The reduction in the workforce is attributed to an efficiency program by reducing fixed costs and streamlining structures. The company said that the focus will be more on the product and project portfolio, along with optimising their international site and leadership network.

"This reduction in positions is a difficult but necessary decision to lower our costs, slim down structures, and thereby place the company on a stable footing for the long term," said CEO Gottfried Neumeister. "We are reducing complexity across all areas—for example in our model range, in IT, and also in the organisation of our departments, particularly by removing one management layer."

All measures are taken with a clear focus on the motorcycles segment with the three core brands KTM, GASGAS, and Husqvarna, the company reported in exchange filing.

The preliminary figures for the Bajaj Mobility Group for the 2025 fiscal year will be published on January 29, 2026.

Bajaj Mobility expects consolidated sales for the past fiscal year 2025 to be just over EUR 1 billion, marking a reduction of approximately 46% compared to the previous year.

The Bajaj Mobility Group sold 80,464 motorcycles in the second half of 2025, representing a 60% increase on the first half of the year (H1: 50,334 units). In addition, 43,956 motorcycles (H1: 34,950 units) were sold in H2 via strategic partner Bajaj Auto. The group's motorcycle sales in fiscal year 2025 totalled 209,704 units (-28%).

The reduction of the motorcycle inventory is from 101,153 units (as of Dec 31, 2024: 248,580 units compared to Dec 31, 2025: 147,427 units).

As part of the closure of the bicycle division, 64,110 e-bicycles and bicycles were sold (previous year: 106,311).