Mercedes-Benz is planning a savings program: at least 800 million euros in labor costs
The board is aiming for savings in personnel costs, while the works council is negotiating compromises to secure the location.
Quick Look
- According to media reports, Mercedes-Benz is planning to save at least 800 million euros in labor costs.
- Zur Diskussion stehen Kürzungen von Sonderzahlungen und eine Erhöhung der Arbeitszeit, während der Betriebsrat um den Erhalt der Standorte kämpft.
AI-generated summary
Why It Matters
Mercedes-Benz plans to cut labor costs to ensure competitiveness. The 35-hour week is a central component of the existing collective agreement.
The outlines of the austerity program at Mercedes-Benz are gradually taking shape. As “Wirtschaftswoche” reports, citing insiders, the board wants to save at least 800 million euros in labor costs.
In addition to overtime, it is conceivable to reduce vacation and Christmas bonuses or to cancel special payments. A spokesman for the company did not want to comment on the number, citing ongoing discussions. Mercedes boss Ola Källenius is demanding unpaid overtime from employees and wants to abolish the 35-hour week that has been in place for three decades. The board had already announced the workforce's plans in a letter in June.
According to “Wirtschaftswoche”, General Works Council Chairman Ergun Lümali is only busy exploring a compromise line. His proposal would mean that the workforce could work two hours more per week - for a limited period of two years. But only if Mercedes invests in return, promises products and you get jobs and locations in Germany.
Mercedes has assembly plants in Sindelfingen near Stuttgart, Rastatt and Bremen. Drives and components are manufactured at the main plant in Untertürkheim, Berlin and Hamburg, among others.
The works council reacted sharply. Anyone who threatens to close plants must expect “decisive resistance,” explained a spokeswoman. The employee representatives want to secure the German locations with new products, technologies and innovations - and are ready to talk about this. However, the board of directors and the works council cannot make any resolution without the consent of IG Metall. Because the 35-hour week is an element of the collective agreement.
Lümali's suggestion probably doesn't go far enough for the Mercedes board anyway. The lucrative sales period for new models is around seven years. The time limit would therefore have to last longer. "It is still unclear whether an agreement will be reached in the end," the "Wirtschaftswoche" quotes an insider - but it is already clear today: "Even with an agreement, it will be difficult to maintain the status quo at all locations."
What to Watch
AI outlook — possibilities, not facts
Negotiations between the board and IG Metall about working time models.
Very likely · Within months
Open Questions
- Will IG Metall agree to a change to the collective agreement?
- Which specific locations are at risk of closures?
