Mercedes cuts 10,000 jobs



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The luxury brand has to cut its costs by 6 billion euros by 2021

Mercedes cuts 10,000 jobs

Daimler expects Mercedes to reduce its costs by 6 billion euros by 2021, and another 2 billion euros to be saved by the company's truck division. These measures will be accompanied by the closure of about 10,000 jobs at Daimler, said the German manager of business magazines, which does not cite company sources.

Daimler declined to comment on the cost cuts cited by Reuters, but at an early stage the company said it did not plan to cut jobs until the end of 2020.

According to the manager, cost-cutting and job cuts are an important part of Daimler's new CEO, Ola Kalenius, who will take office next month.

In February, Daimler confirmed that the company is seeking to reduce costs, as its operating profit fell 22% in the last quarter of last year – the effect of the commercial wars, rising costs for the development of electric cars and the decline in sales .

The magazine also recalled the problem of about 30,000 Mercedes cars that left the factory in Tsksalouusa, Alabama, with electronic defects, which cost expensive repairs at the company's expense and slow the entire production process.

At the end of next week, Daimler will announce its earnings for the first three months of this year, with a expected drop of 500 million euros.

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