Mercedes-Benz Halts All Further Investment at German Facilities
33 Articles
33 Articles
Mercedes-Benz suspends investments in Germany amid threat of plant closures - Mercedes-Benz media halts new investments in Germany due to high costs and lack of agreement with trade <p>unions. The company is considering The closure of two factories.</p>
Mercedes-Benz checks plant closures in Germany and stops investments. Read why high labour costs increase the pressure on employees and IG Metall.
Mercedes-Benz has halted all investments in Germany with immediate effect after negotiations between management and employee representatives over wage cuts reached a deadlock. The company has decided to take radical steps, including closing domestic factories and moving a significant portion of production abroad if it fails to reach an agreement with unions on extended working hours and reduced benefits, Handelsblatt reported.
In a crisis, the German auto giant believes it has to drastically reduce its production costs in the face of increasingly intense Chinese competition.
The German Auto Concert Mercedes-Benz decided to freeze all further investment in production in Germany and allowed the closure of factories in the country due to problems in reducing staff costs. Mercedes-Benz made further investment in production in the territory of the Federal Republic of Germany and allowed the closure of local factories in the context of discussions on the reduction of staff costs, transferred TASS with reference to the age…
In this country, a working hour at Mercedes costs up to five times more than in Eastern Europe. The Group is now drawing consequences. The personnel supervisors want to examine "what locations we can still afford in Germany".
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