Mercedes-Benz: Austerity program forces drastic job cuts!

Mercedes-Benz: Austerity program forces drastic job cuts!

Mercedes-Benz is under pressure: The German car manufacturer announces drastic savings that could affect up to 15 percent of jobs in China. According to an insider, such as krone.at , the areas of sales and auto financing are particularly badly affected. These measures are part of a comprehensive savings program that aims to reduce personnel costs by 25 percent by 2027. You also expect a decline in production worldwide. The company's profit broke down by shocking 28 percent last year and forces restructuring.

changes in production and personnel reduction

The savings have immediate consequences for the production capacities of Mercedes-Benz. CFO Harald Wilhelm has announced that it reduces the annual production from 2.5 million to 2.2 million units, which corresponds to a decline of a tenth. As part of these measures, job cuts are also expected in Germany, but so far the company has not mentioned precise figures, as n-tv.de

The planned cuts only concern the direct employees of Mercedes-Benz in China and not the production joint venture with the Chinese automobile manufacturer Baic. Around 2000 of the approximately 5,000 employees in China are active in research and development and should not be released. The mood in the company is depressed because the financial situation remains tense.