On October 20th, according to media reports, Mercedes Benz is currently implementing its largest ever layoff plan.
As of now, about 4000 employees have accepted the severance plan to resign, among which senior managers can receive a maximum compensation of 500000 euros (approximately 4.15 million RMB). The compensation amount adopts a gradient design, directly linked to job level and length of service, and a special "acceleration bonus" is set up to motivate employees to make decisions as early as possible.
According to reports, the transformation plan began in April this year and opened an application channel for about 40000 employees. According to the labor agreement, Mercedes Benz employees were originally entitled to employment security until 2034, but the group successfully persuaded a large number of engineers, administrators, and IT personnel to voluntarily resign through an attractive economic compensation plan. By 2027, Mercedes Benz hopes to save approximately 5 billion euros annually through outsourcing decisions, not filling vacant positions, and severance pay.
