BMW suffers from the impact of the epidemic, cuts jobs and suggests some employees retire or go to school

category:Finance
 BMW suffers from the impact of the epidemic, cuts jobs and suggests some employees retire or go to school


The first financial reporter noted from the official website of BMW group that on June 19, German time, BMW Group said in a statement that its management and the labor union had reached an agreement on balanced human resources package measures, and the reduction of staff will be realized through personnel flow and agreement with the companys own wish, so as to help BMW more effectively cope with external shocks and market fluctuations u3002 BMW said that this will help improve the companys earnings in the short term and will also maintain its innovation capability in the long term.

Although many auto manufacturers have resumed production in Europe and other countries, the impact of the epidemic on overseas auto market is still large. According to data released by the European Association of automobile manufacturers (EAMA), the number of new car registrations in Europe in May was 624000, down 57% year on year. In May, BMW expects the worst impact of the outbreak to be felt in the second quarter, when it will lose money. Volkswagen and Daimler also publicly said they would be in a loss in the second quarter. In May, BMW CEO zippce also warned that despite the rebound in Chinas car market, demand recovery in Europe and the United States is very slow. According to zippze, the forecast for 2020 looks bleak and 2021 is uncertain.

In addition, on June 19, German time, BMW announced to suspend its cooperation with Daimler in the research and development of automatic driving technology. BMW said in the announcement that the two companies agreed to work on the current development path of both sides, which may include cooperation with existing or new partners. The two sides believe that in view of the cost of establishing a shared technology platform, as well as the current business and economic situation, this is not a suitable time to successfully implement cooperation. However, the two sides stressed the possibility of restarting this cooperation in the future. This year, Ford motor has also announced that its autopilot business service will be postponed to 2022, while GM will shut down its Maven car sharing service.

Since May, many car companies have announced salary cuts or layoffs due to the impact of the epidemic. From May 1, Jim hankai, chief executive of Ford Motor, said in an internal letter to Ford employees that the top 300 executives of the company would postpone their pay by 20% - 50% to cope with the cash shortage during the outbreak. Renault plans to cut 15000 jobs globally, including 4600 in France, as part of its 2 billion euro cost cutting plan over the next three years. Nissan plans to cut more than 20000 jobs around the world, which will be the largest layoff since Nissans recovery plan in 1999. Previously, Audi had announced that it would cut 9500 jobs by 2025. Daimler plans to cut more than 10000 jobs globally by the end of 2022, equivalent to 3.3% of its global workforce. At the same time, it plans to expand its early retirement plan and provide buyout programs to reduce German administrative staff. According to Cao he, chairman of Zhongrong venture capital fund management Co., Ltd., layoff and salary reduction is an inevitable choice, and reducing human cost is also an important way for the global mainstream automobile enterprises to cope with the adverse factors such as profit decline. At present, the global automobile industry is in a severe situation, and there is little room for further exploration in the price of raw materials, logistics costs, parts procurement costs, etc. Technology is the core competitiveness of automobile enterprises. If they choose to invest a lot of money in new technology field, they need to reduce expenditure in other aspects. Read Lu Zhengyaos counterattack! Ruixing will reorganize the board of directors to kick Li Hui and Liu Erhai out of the game rules dont understand? Is it safe for us college students to commit suicide and import food after they see loss of 5 million? When will the theater be restored? Official response source: First Financial Editor: Zhang Mei_ NF2100

Since May, many car companies have announced salary cuts or layoffs due to the impact of the epidemic. From May 1, Jim hankai, chief executive of Ford Motor, said in an internal letter to Ford employees that the top 300 executives of the company would postpone their pay by 20% - 50% to cope with the cash shortage during the outbreak. Renault plans to cut 15000 jobs globally, including 4600 in France, as part of its 2 billion euro cost cutting plan over the next three years. Nissan plans to cut more than 20000 jobs around the world, which will be the largest layoff since Nissans recovery plan in 1999. Previously, Audi had announced that it would cut 9500 jobs by 2025. Daimler plans to cut more than 10000 jobs globally by the end of 2022, equivalent to 3.3% of its global workforce. At the same time, it plans to expand its early retirement plan and provide buyout programs to reduce German administrative staff.

According to Cao he, chairman of Zhongrong venture capital fund management Co., Ltd., layoff and salary reduction is an inevitable choice, and reducing human cost is also an important way for the global mainstream automobile enterprises to cope with the adverse factors such as profit decline. At present, the global automobile industry is in a severe situation, and there is little room for further exploration in the price of raw materials, logistics costs, parts procurement costs, etc. Technology is the core competitiveness of automobile enterprises. If they choose to invest a lot of money in new technology field, they need to reduce expenditure in other aspects.