Mercedes-Benz is weighing longer workweeks without additional pay, prompting strong opposition from unions and thousands of employees.
Mercedes-Benz management has proposed increasing the standard workweek from 35 hours to 40 hours without raising employee pay. Labor unions have already criticized the proposal, while workers are expressing concerns about how the changes could affect working conditions and compensation.
The proposal has sparked widespread discussion across the automotive industry. For many observers, it highlights the growing pressure facing even the world's largest automakers as they look for new ways to reduce costs. With the global auto market continuing to face multiple challenges, similar measures could eventually be considered by other manufacturers.
According to Carscoops, the proposal would require employees to work roughly 260 additional hours each year without receiving extra compensation. At the same time, Mercedes-Benz has postponed its annual bonus payment, which had previously amounted to 18% of a monthly salary under the company's collective bargaining agreement. Employees who expected to receive the bonus in July will now have to wait until next year. The decision affects about 90,000 workers and was reportedly made without union approval.
Labor unions have strongly criticized the proposal, calling it both unfair and ineffective. Works council chairman Ergün Lümali said improving competitiveness by asking employees to work more without additional pay is not a sustainable solution. He argued that the company needs new products, fresh ideas, and skilled employees rather than increased workloads for its existing workforce. Many employees have also voiced concerns that the proposal could hurt morale and make working conditions less attractive.
Industry analysts note that Mercedes-Benz is facing mounting financial pressure. Higher export tariffs, slowing demand for electric vehicles, and weaker performance in the Chinese market have all weighed on the automaker's profitability. Against that backdrop, management is looking for ways to reduce expenses, although the proposed approach has drawn criticism even from longtime employees. Some analysts believe the outcome could influence labor negotiations at other European automakers, where union representation remains strong.
Based on current reports, the dispute between Mercedes-Benz management and labor representatives continues to escalate. It remains unclear whether the two sides will reach an agreement, but the issue has already become a major topic within the automotive industry. In Germany, a 35-hour workweek has long been common across many industrial sectors, and attempts to extend it have historically faced strong union opposition. The final outcome could shape not only labor relations at Mercedes-Benz but also broader employment practices across the European auto industry.