Mercedes-Benz faces nationwide worker protests over cost‑cutting plan

Thousands of Mercedes‑Benz employees across Germany marched on 3 July after the company announced a tighter “sparkurs”. The IG Metall union called the actions a “hot summer and autumn” for the auto industry, warning that the measures – including a postponed “Transformations‑Baustein” bonus for about 90 000 of the 108 000 staff and talks on extending working hours without extra pay – would hit hard‑won labour gains.

Union leaders quoted workers saying, “Die Beschäftigten sind mit den Plänen des Vorstands und dem Abbau des Sozialstaats nicht einverstanden.” The company's own statement described the situation in Germany as “dramatisch” and stressed the need to cut costs to stay competitive. In parallel, Mercedes‑Benz disclosed a plan to shift production of the new Mini‑G ("Baby‑G") to its Kecskemét plant in Hungary from 2027, signalling a broader cost‑reduction strategy that could reduce output at German sites such as Rastatt and Sindelfingen.

Protests were staged at multiple plants – Sindelfingen, Untertürkheim, Rastatt, Kuppenheim, Bremen, Berlin, Hamburg and Germersheim – and are intended to spark further actions across the automotive sector.