Mercedes-Benz sells Neu-Ulm branch: What does that mean for the workforce?

Mercedes-Benz sells Neu-Ulm branch: What does that mean for the workforce?

Mercedes-Benz initiated the process of selling its group-owned car dealerships in Germany last week, and the first step has already been completed. Loud Augsburger Allgemeine The branch in Neu-Ulm was sold to the two car dealers Kreuter Medele Schäfer and Abel+Ruf. This takeover is planned for December 1st and will bring a certain degree of security for the approximately 200 employees, as they have been assured that their employment will continue. The exact sales amount remains undisclosed.

The discussions about the sale dragged on for a long time. Since January 2024, Mercedes-Benz had been considering selling its car dealerships, and negotiations on the terms of the sale proved to be complicated, particularly due to the involvement of the general works council. After tough negotiations, which sometimes led to production stoppages at various locations, an agreement was reached that protects the rights of the employees. Employees can look forward to a one-off payment of an average of 85,000 euros, which depends on length of service and age, and no redundancies are planned until the end of 2029 daily news reported.

The big picture

This decision does not only affect the Neu-Ulm branch. In total, Mercedes-Benz plans to sell all of its approximately 80 car dealerships in Germany, which affects around 8,000 employees. CEO Ola Källenius makes it clear that this step does not result from financial difficulties; the branches are profitable. Instead, the focus is on securing jobs in the long term and protecting employee rights, details of which can also be found on Blackout News.

Mercedes-Benz will not hand over the car dealerships to simple financial investors. Instead, the new buyers must meet certain requirements: they must have trading expertise and economic strength and be willing to invest in the locations. Potential users must also show a constructive attitude towards employee representatives. These principles are intended to ensure that companies continue to work effectively and that the personnel structure is maintained.

With this strategy, the company is pursuing a clear plan to make the car dealerships fit for the future, while at the same time ensuring the usual customer service and job security for employees. After the first transaction in Neu-Ulm, further sales are expected in the next few weeks. It is important that the targeted buyers take over premium locations in an economically strong market area, which will be of great importance for the two new car dealers Kreuter Medele Schäfer and Abel+Ruf.