The European auto industry is in a major crisis and manufacturers are trying to find a way out in different ways. Volkswagen recently announced that it will lay off 35,000 employees by 2030, which will save the company 15 billion euros per year, but Mercedes has decided to take a different approach. According to the latest information, the German company will not close plants or lay off employees, but a large number of senior managers will have to go to work in different brand headquarters and will not receive a salary increase in 2025.

The plan is to make all employees more productive and save more than five billion euros in the next two years. This means that the salaries of managers, not just workers, will depend on the number of cars sold. The company is aware that it must become even more efficient and that everyone in the company must contribute to this.

Remote work, one of the great privileges so far, is coming to an end. Managers will have to abandon the work from home that has been used since the Covid-19 pandemic, which has continued without reason, but there are exceptions here too. Working from home will only be allowed in exceptional cases, when children are sick and need care. It is obvious that Mercedes understands the current situation and that for the good of the company, measures must be taken from the top.

Source: Mercedes-Benz