Daimler CEO Ola Källenius wants to start with his savings program with the executives of the car manufacturer. According to the works council, 1,100 jobs at various management levels are to be reduced worldwide. In an information letter to the employees, chief executive Michael Brecht wrote that the measure affected about one in ten in Germany.
With the dismantling the enterprise wants to implement the announced saving program. According to Brecht, at the beginning of the week Källenius called for the first time a concrete number on his savings plans in an internal management event.
In order to reduce personnel costs, the company management also proposed not to take over any possible pay increases from the collective bargaining plan due in the spring of 2020. "We rejected this categorically," Brecht told the Süddeutsche Zeitung . This demand "rightly trigger emotions and a high level of incomprehension". He sees the "bad financial situation" as well as the need for prudent measures - but "disproportionate demands" did not benefit anyone.
A Daimler spokesman said on request, one does not speak to speculation. However, the company is working "on the analysis of costs, processes and business potential". Every business area is affected, including cross-divisional areas. The analyzes were still ongoing. The group is in a "constructive dialogue" with the employee representatives.
Economy, diesel scandal and e-mobility are causing problems
Reason is the economic and political environment, which presents the automotive industry worldwide with great challenges. Daimler intends to present details of its strategic orientation next week at the "Capital Market Days" in London and New York.
Källenius' predecessor Dieter Zetsche had set the austerity measures earlier this year. The generally weak auto economy, production problems, high costs for recalls and worries with the diesel engine, as well as the immense expenditure on electromobility and future technologies such as autonomous driving made and create problems for Daimler. Especially the first half did not go well.
Daimler has a good 178,000 employees in Germany. The Group has ruled out redundancies due to lay-offs by the end of the next decade, and there should not be any redundancy programs or similar. Thus it is not excluded that the group, for example, vacant posts vacancies. Selective separation agreements for employees in the indirect area, so for example in the administration, could certainly also discuss, wrote Brecht.