The German car industry has been hit hard by the crisis. The virus outbreak even caused production to stop for a while. Mercedes-Benz therefore recorded a significant loss in the past quarter, it was announced on Thursday based on preliminary quarterly figures. That is why it is necessary to cut costs further anyway.
Daimler, the parent company of Mercedes-Benz, is likely to cut up to 20,000 jobs in the coming years. The German news agency DPA reports this on the basis of insiders. Daimler had recently indicated that the corona crisis may require more jobs to be lost than a previously announced estimate of 10,000 to 15,000 jobs.
At the end of last year, the car group still employed nearly 300,000 people worldwide. It is not yet definitively decided how many employees will have to leave. A spokesman for the company’s works council said on Friday that negotiations with Daimler were still ongoing. The group will publish final quarterly figures next week. It is possible that the company will also let you know which personnel interventions can be expected in the near future.
Peretz M. is an accomplished economist and financial journalist with a deep understanding of the global economy and financial markets. He is a regular contributor to EconomicInform, where he provides expert analysis and commentary on current economic trends and events. With a strong educational background in economics, Peretz has a talent for breaking down complex economic concepts for a general audience and is able to provide insightful perspectives on a wide range of economic issues.
