Daimler Truck must become more profitable in Europe. The Wörth site is also affected. Management has agreed on key points with the general works council.
Daimler Truck headquarters in Leinfelden-Echterdingen
Daimler Truck AG
Commercial vehicle manufacturer Daimler Truck wants to become more competitive in Europe and has agreed on key points for its sites in Germany with the general works council. These range from socially acceptable staff cuts and the offsetting of remuneration components to greater personnel flexibility with temporary work, as board member Achim Puchert and general works council chairman Michael Brecht told the German Press Agency in Leinfelden-Echterdingen. The agreed measures apply to around 28,000 employees. However, the bus segment is excluded.
Reduction in Personnel Costs
The company has committed to investing two billion euros in its German production network by 2030, a company spokesperson added. The “Cost Down Europe” savings program at the recently struggling Mercedes-Benz Trucks brand will affect production as well as headquarters, administration, sales, and development. In addition to reducing material costs, personnel costs are also part of the overall package.
Staff cuts are also planned. There are a total of five locations in Germany: Gaggenau, Kassel, Mannheim, Stuttgart, and Wörth. The latter location in Rhineland-Palatinate is the largest truck assembly plant. Overall, recurring costs are to be permanently reduced by more than one billion euros by 2030 at the latest, as was announced weeks ago.
Puchert told the dpa that production would largely rely on natural attrition and partial retirement to reduce personnel costs. “In other functions, we will have no choice but to make socially acceptable personnel cuts.” Socially acceptable personnel cuts refer to measures designed to mitigate the negative consequences of staff reductions, such as layoffs, for the employees affected.
No Redundancies for Operational Reasons for Ten Years
The details of the severance program will be finalized in the coming weeks. There will be no redundancies for operational reasons, and the program will be entirely voluntary. No specific details were given on how many jobs will be cut in total.
Furthermore, part of the wage increase for 2026 will be offset against existing wage supplements, as both sides announced. In addition, the company and the general works council have agreed to extend the current job security measures. General works council chairman Brecht said this had been a key concern. “It will now run until the end of 2034. This means that redundancies for operational reasons are ruled out for ten years from now. This provides additional security for our colleagues in Germany.”
According to the board, the company also plans to bundle Daimler Truck's administrative services and outsource them to other locations or external providers in order to reduce costs. Brecht said, “We have agreed that relocations or outsourcing may only be carried out after a profitability and risk assessment.” The works council will be involved. “If we can do something more economically ourselves, then it will stay with us. This also applies to services.”
There is a uniform solution for temporary work: the quota has been increased to 18 percent. The issue currently plays a minor role in production, said Brecht. There are currently only around 700 temporary workers at all German locations.
Workforce Must Benefit from Success
The head of the general works council went on to say that it was important to have new regulations on profit sharing. “This has been a key concern for us. If the workforce contributes to the success of the company, then it must also benefit from this success.” The responsible board member, Puchert, said that the key points now offer good prospects for the future of the German sites. Brecht, the head of the general works council, said: “We are creating security in uncertain times.”
This is a partly automated translation of this german article by dpa.
