German engineering giant Siemens said Wednesday it would slash 2,500 jobs from its industrial division in a reorganisation to cope with a slump in the oil and gas as well as metals and mining sectors.

"A total of about 2,500 jobs worldwide -- of which 2,000 are in Germany, primarily in Bavaria -- will be affected by the realignment" of the group's process industries and drives (PD) division, it said in a statement.