Daimler to Cut at Least 10,000 Jobs -- Update
November 29 2019 - 8:52AM
Dow Jones News
(Updates with HR chief's comments)
By Max Bernhard and Markus Klausen
Daimler AG (DAI.XE) plans to cut at least 10,000 jobs world-wide
over the coming years to save costs amid heavy investments into
emissions compliance and future technologies.
Human Resources Director Wilfried Porth said Friday that the car
maker plans to cut a low five-digit figure of jobs, indicating that
at least 10,000 jobs should be affected.
In production, no job cuts are planned, Mr. Porth said.
Daimler said Friday that it agreed with labor representatives to
use natural fluctuation to reduce the number of jobs and that it
will also offer part-time retirement and severance programs.
Agreed job protection in Germany until the end of 2029 remains
untouched, the company said.
The move comes after a string of car makers and parts suppliers
have announced drastic job cuts and restructuring measures in the
face of slowing global demand.
Daimler said that by the end of 2022 it plans to reduce staff
costs by around 1.4 billion euros ($1.54 billion). It also wants to
cut the number of jobs in management by 10% globally.
Employees will be offered to reduce their weekly working time
and the company will extend expiring contracts for temporary
workers in administration jobs "very restrictively," the company
said.
It will also be "very restrictive" in allowing 40-hour contracts
for permanent employees, it said.
Write to Max Bernhard at max.bernhard@dowjones.com and Markus
Klausen at markus.klausen@wsj.com
(END) Dow Jones Newswires
November 29, 2019 08:37 ET (13:37 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
Mercedes Benz (PK) (USOTC:DMLRY)
Historical Stock Chart
From Aug 2024 to Sep 2024
Mercedes Benz (PK) (USOTC:DMLRY)
Historical Stock Chart
From Sep 2023 to Sep 2024