Mercedes may begin mass layoffs of employees

Mercedes may begin mass layoffs of employees

June 22, 2020 0 By autotimesnews

According to emerging information, about 10 thousand employees may lose jobs.

The German auto giant Mercedes-Benz may launch a program to reduce the large number of employees. This was reported by Automobilwoche, citing its own sources in Daimler. According to preliminary information, about 10 thousand people may lose their jobs until 2025. However, some departments may be completely disbanded, in particular, we are talking about the IT sector.

It is possible that in order to carry out a number of works, organizations will be hired for a contract. At Daimler, they were already thinking about reducing staff – the plan was calculated until 2022. It is estimated that this would save about 1.4 billion euros. However, the coronavirus pandemic has made adjustments and may force even more massive reductions. The growing popularity of electric cars also plays a large role – large investments may be required to develop company technologies.

But the production of cars with classic ICEs in Europe in the coming years will be very much reduced due to the crisis and toughening environmental standards.

Earlier it became known about the possible reduction of employees at BMW. We are talking about the release of 6 thousand jobs, which will provide additional funds for the development of new projects.