Daimler expects more massive job cutsJuly 14, 2020
The German concern will need to cut more jobs than previously announced. This was told in an interview with the German agency DPA by the head of the personnel department of the company.
The top manager did not give exact numbers, but earlier Daimler representatives announced the figures of 15,000 people, and this is necessary for Mercedes-Benz to avoid operational dismissals after the coronavirus pandemic.
“The readiness of the enterprise council to take really important measures, unfortunately, is not particularly pronounced,” Wilfried Port said in an interview.
Daimler CEO Ola Callenius warned last week that the company would have to cut costs amid one of the biggest downturns in demand for cars and trucks. The initial restructuring plan, announced in November, provided for the elimination of 10 thousand jobs by 2022.
Daimler needs to agree on reductions with union representatives and workers, who make up half the members of the company’s supervisory board. The company previously agreed to avoid operational layoffs until the end of the decade, but the plan leaves open the possibility of revision in the event of major economic changes.
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