Daimler to Further Downsize Temporary Workforce

Nov. 20, 2008
Reductions only way to react to market conditions says company

Daimler will reduce the number of its temporary workers in Germany again, a spokeswoman said on Nov. 20 as the company sought to counter the effects of falling demand. "We are going to reduce again the number of temporary workers and short-term contracts," the spokeswoman said, while declining to say how many workers would be affected by the decision.

The Daimler spokeswman said "instruments of flexibility" protected staff with long-term contracts. Daimler employs 167,000 workers in Germany, including a maximum of 2,500 temporary staff.

The reductions are "the only way to react to different market situations and to breathe," the spokeswoman said.

In October, Daimler's Mercedez-Benz division reported a sales fall of 18% from the same month a year earlier.

Managers are considering a cut in the workweek from 35 to 30 hours per week, and has announced that some plants would be closed temporarily during the end of year holidays.

Copyright Agence France-Presse, 2008

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