Daimler said it will streamline the Group structure to increase efficiency and flexibility. “Measures to reduce costs and employment in a socially responsible manner have jointly been agreed upon”, said the manufacturer. Thousands of jobs are to be cut worldwide, with possibilities for part-time retirement to be expanded and a severance programme to be offered in Germany in order to reduce jobs in the administration.

“The automotive industry is in the middle of the biggest transformation in its history. The development towards CO2-neutral mobility requires large investments, which is why Daimler announced in the middle of November that it would launch a programme to increase competitiveness, innovation and investment strength”, said Daimler, adding that the programme includes the reduction of staff costs by around €1.4 billion by the end of 2022, and to reduce the number of management positions worldwide by 10%.