Mercedes-Benz has faced harsh criticism from trade unions in Germany after preparing new cost-cutting measures. According to German media, the automaker has not only postponed part of its employees' salaries but is also considering increasing the work week without additional pay.
The company has postponed the payment of a bonus stipulated by the collective labor agreement. Initially, employees were supposed to receive it in July, but now the money is planned to be paid only next year.
The bonus amount is approximately 18% of the monthly salary. The decision affects about 90,000 employees at Mercedes-Benz's German plants.
Additional dissatisfaction was caused by plans to increase the length of the work week. The company is considering switching from a 35-hour week to a 40-hour week, while salaries will remain the same.
In fact, this means approximately 260 additional working hours per year without any compensation.
Ergun Lümali, Chairman of the Mercedes Works Council, sharply criticized the management's initiative.
According to him, such measures will not make the company more competitive. Instead of increasing the burden on employees, the manufacturer needs to focus on developing new cars, introducing innovations, and retaining skilled professionals.
The reason for seeking additional reserves is a difficult financial situation. Like many global automakers, Mercedes is experiencing pressure from several factors at once: slowing demand for electric vehicles, increased competition in China, and the impact of import duties in certain markets.
The company's financial results reflect these problems. By the end of 2025, the adjusted operating profit of the Mercedes-Benz Cars division decreased from 8.7 to 4.8 billion euros. The group's total profit also decreased from 13.7 to 8.2 billion euros.
The final decision on the transition to a new work week has not yet been made. However, the initiative has already caused serious opposition between Mercedes management and employee representatives, and negotiations promise to be among the most difficult in recent years.
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