Daimler cost cuts would hit Germany hardest

Daimler’s workforce in Germany will bear the worst hit of 1.4 billion euros ($1.5 billion) in cost cuts prepared by the end of 2022, the head of the automaker’s works council told a newspaper.

“Two-thirds of the sum is to be saved in Germany,” Michael Brecht informed Stuttgarter Zeitung.

Daimler stated on Friday it would cut about 10,000 jobs globally over the next three years, after others in the industry seeking savings to spend in electric vehicles and to cope with declining sales.

“Neither savings potential of 1.4 billion euros nor job cuts of at least 10,000 people has been okayed by the works council,” Brecht stated, adding management and labor representatives had agreed not to provide a number for job decreases.

Daimler has frequently cut its profit outlook over last months, partly to cover a regulatory crackdown on diesel emissions but because of a slowing auto market as well.