German Handelsblatt: Auto supplier: Mahle closes two plants in Germany000380

Automotive supplier Mahle

The company pursues a strict austerity course.

(Photo: dpa)

Stuttgart The automotive supplier Mahle is beginning to implement its announced workforce reduction: The group no longer sees any prospects for the two German locations in Gaildorf (Baden-Württemberg) and Freiberg (Saxony) and is planning to close them.
In the Swabian town of Gaildorf, 290 jobs will be lost by 2023. In Freiberg, Saxony, there are 85 jobs that are being cut. Jobs will also be cut at nine other locations, including the Stuttgart headquarters and the German production locations in Mühlacker / Vaihingen, Neustadt, Rottweil and St. Michael in Austria.

The management and the economic committee of the general works council as well as the European works council were informed of the plans today. The talks should begin now. Mahle had already announced a drastic tightening of its austerity course in the previous week. The foundation company plans to cut 7600 additional jobs worldwide – 2000 of them in Germany.
Mahle boss Jörg Stratmann is striving for the most socially acceptable implementation of the job cuts. The company has been following a strict austerity course since 2018 and has already cut 6,700 jobs worldwide. Mahle currently has 72,000 employees, almost 12,000 of them in Germany.

The General Works Council Vice Dieter Kiesling complained at the time that Mahle had not yet presented any prospects for the combustion sites. In 2019 Mahle made a loss of 212 million euros – after a profit of 446 million euros in 2018. Sales fell by 4.2 percent to twelve billion euros.
Mahle, like the management trio Bosch, ZF and Continental and the entire industry, is suffering from the weak auto economy and the high expenses for the transformation to electric mobility.
More: Mahle is cutting a further 7600 jobs worldwide

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