Mercedes-Benz couldn’t hold on anymore and plans to lay off employees

On December 6, auto blogger Sun Shaojun broke the news yesterday: Mercedes-Benz headquarters had passed a “verbal communication” that except for some management that would not be affected, other employees would not be promoted or raised, layoffs would be pending, and annual bonuses would be pending.

Mercedes-Benz couldn't hold on anymore and plans to lay off employees, Sun Shaojun also said that in addition to some senior managers participating in global performance appraisal, other employees will face varying degrees of influence.

Specifically, the layoffs plan will cover multiple departments and regional branches of Mercedes-Benz, including R & D, sales, marketing and administrative management departments.

Globally, Mercedes-Benz plans to lay off more than 10000 people, including 10% of management personnel.

This layoff ratio shows the company’s determination and strength in responding to market challenges.

, Employees ‘attitude towards layoffs is generally worried and uneasy, and ordinary employees feel under great pressure about the dilemma of no promotion or salary increase and the uncertainty of layoffs.

This emotion seriously affects employee morale and work enthusiasm.

, Sales data for the third quarter of 2024 released by Mercedes-Benz shows that in the first three quarters of this year, the company’s cumulative car sales were 1.

7632 million units, a year-on-year decrease of 5%.

of which Mercedes-Benz sales of pure electric vehicles were 148,500 units, a year-on-year decrease of 22%.

This data reflects that Mercedes-Benz’s competitiveness in the new energy vehicle market is being challenged by emerging brands, especially in the China market.

Local brands such as Tesla, NIO, and Xiaopeng rely on innovative products and flexible market strategies.

The rapid rise has put pressure on traditional luxury brands such as Mercedes-Benz.

Especially in the China market, sales in the third quarter were 170,700 units, down 13% year-on-year, and the decline exceeded the 7% in the German market.

It was the single market with the largest decline in the world in the third quarter.

Recent financial reports from Mercedes-Benz couldn't hold on anymore and plans to lay off employees Mercedes-Benz show that the company is facing severe financial challenges.

In the third quarter of 2024, Mercedes-Benz’s operating income fell 6.

7% year-on-year to 34.

528 billion euros.

This downward trend reflects the company’s sales pressure in the global market.

At the same time, the company’s net profit fell sharply by 53.

8% year-on-year to 1.

719 billion euros.

This significant decline revealed the weakening of Mercedes-Benz’s profitability.

These have all led to a decline in net profit, and Mercedes-Benz hopes to improve its financial situation by reducing labor costs.

Faced with the general trend of electrification in the global automotive industry, Mercedes-Benz is accelerating its electrification transformation strategy.

According to public information, Mercedes-Benz plans to invest more than 40 billion euros in pure electric vehicles between 2022 and 2030 to ensure competitiveness in the new energy vehicle market.

Return to the first electric network home page>,.

Link to this article: https://evcnd.com/mercedes-benz-couldnt-hold-on-anymore-and-plans-to-lay-off-employees/

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