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The BMW Group has reached an agreement with the German labor unions to start the efficiency measures envisaged by the savings plan announced in March, which envisages cuts of 12 billion euros by 2022. Under the agreement from the next year, about 90 thousand Group employees will receive no more than 80% of the previous awards granted based on annual financial performance.
The 2019 bonus (based on the 2018 budget) reached € 9.175. The cut established will correspond to about 20%. In addition, a profit sharing system has been agreed which restrains the excessive growth of company bonuses, as well as a change to the calculation systems for Christmas bonuses (which will be paid on the basis of a 35-hour work week and no more than 40), incentives for certain professional positions and pension contributions. The agreed one is an alternative plan to reduce the workforce (about 6 thousand employees) deemed necessary to make ends meet due to the slowdown in global demand and the high costs caused by the transition to electric mobility. “Together with the works council we have identified and agreed on a solidarity solution that will allow us to do without the drastic measures that others are taking to reduce their costs,” said the CEO of the BMW Group