Mexican Media Brands
Mercedes Seeks Voluntary Layoffs in Brazil as Truck Sales Slump
Daimler AG’s Mercedes-Benz unit hopes to trim 1,400 jobs at its truck plant in Sao Bernardo do Campo, Brazil, as sales continue to slump.
#labor
Share
Daimler AG’s Mercedes-Benz unit hopes to trim 1,400 jobs at its truck plant in Sao Bernardo do Campo, Brazil, as sales continue to slump. The target represents 16% of the company’s workforce in the country.
The voluntary program will offer Mercedes workers a one-time payment of 100,000 reais ($31,000) regardless of age or seniority, The Wall Street Journal reports. The offer is set to expire at the end of August.
Mercedes commercial vehicle sales in Brazil were down 23% for trucks and 28% for buses in January-July, according to the Journal. It notes that Brazil’s economy contracted by nearly 4% in 2015, and economists expect an additional 3% shrinkage this year. The slowdown has dampened business investment in big-ticket items such as commercial vehicles.
Overall vehicle sales in Brazil were down 25% through the first seven months of the year, according to automotive trade group ANFAVEA.
RELATED CONTENT
-
Young Auto Engineers Say Their Employers Don’t Measure Up
Only one-third of U.S. automotive engineers below the age of 36 agree that their work experience matches the way their employers’ portray themselves publicly, according to new research.
-
Denmark, 10 Other EU Members Urge Piston Ban
Denmark and 10 other member nations of the European Union have urged the region to allow them to end gasoline and diesel engine sales by 2030.
-
UPDATE: Unifor Ratifies GM Labor Pact by 86% Margin
Hourly workers at General Motors Co.’s CAMI assembly plant in Ingersoll, Ont., will vote today whether to accept an agreement to end a strike they began on Sept. 17.