'the global auto industry is undergoing the biggest transformation in its history, 'Daimler said in a recent statement.
According to foreign media reports, on November 29, Daimler issued a statement saying that it plans to cut more than 10000 people (including 10% of the management) globally by the end of 2022, so as to reduce the expenditure of 1.4 billion euros (about 10.85 billion yuan). The reason is the decline in new car sales, the hope to reduce costs and increase investment in electric vehicles.
This is the third time that Daimler recently announced its cost reduction plan. The layoff plan includes the previous two layoffs of Daimler group. Cost reduction plan including layoffs, reduction of supply chain costs, reduction of fixed asset investment, reduction of operating costs, reduction of model system and number of platforms and other details.
According to the financial report data released by Daimler earlier, in the third quarter of 2019, the group's revenue was 43.27 billion euros (about 333.34 billion yuan), a year-on-year increase of 8%; its EBIT reached 2.69 billion euros (about 20.72 billion yuan), a year-on-year increase of 8%. However, while the above data increased, the profit margin of Mercedes Benz brand decreased to 6% from 6.3% in the same period last year.
The cold winter in the auto market has intensified, and Daimler is not the only one affected.
Earlier, Audi announced that before 2025, Audi will lay off 9500 employees (in the form of early retirement), accounting for about 10% of the total number of employees; BMW also said that it was negotiating with labor representatives and major suppliers. The Agreement included reducing employee bonuses based on the company's profits and changing Christmas and other holiday bonuses for some employees, with a view to saving more than 12 billion euros by 2022.
BBA's German luxury 'top three' have announced layoffs, which also means that the downward cycle of the auto market will continue. According to the prediction of the world organization of automobile manufacturers (oica), the global automobile sales in 2019 are expected to decline by about 3.1 million, which is more serious than that during the financial crisis in 2008. The slowdown of automobile sales is impacting the global manufacturing industry.