MAHLE Secures Future Viability with Labor Agreement for German Locations

MAHLE Secures Future Viability with Labor Agreement for German Locations

(IN BRIEF) MAHLE, a German automotive parts manufacturer, has reached a labor agreement with management and employee representatives to enhance the future sustainability of its German facilities. The agreement emphasizes the development of future concepts for individual locations through a transformation dialogue involving unions and works councils. The accord focuses on preserving employment, offering security, and fostering qualification for approximately 10,500 employees. The agreement, effective from August 1, 2023, until December 31, 2025, aims to shape the company’s future while ensuring competitiveness and job stability.

(PRESS RELEASE) STUTTGART, 10-Aug-2023 — /EuropaWire/ — Management and employee representatives at MAHLE have agreed on a labor agreement to strengthen the future viability of the Group’s German locations. The core of the agreement is a process for the development of future concepts for the individual locations with the participation of the unions and works council as part of the MAHLE transformation dialogue. In addition, the agreement provides for safeguarding employment and qualification for the approximately 10,500 employees. The future collective agreement has been in force since August 1, 2023 and runs until December 31, 2025.

“MAHLE is fully on track for transformation. In this context, our German locations are facing particularly great challenges. With this groundbreaking agreement, we can now actively go ahead designing individual and urgently needed concepts for the future of our plants here,” said Arnd Franz, Chairman of the Management Board and CEO of MAHLE.

“I am pleased that the negotiating partners have succeeded in agreeing on suitable instruments for the transformation of the Group in Germany. The agreement combines security with a new dynamic to shape the future in the best possible way and thus creates good conditions,” said Dr Beate Bungartz, Member of the Management Board and Director of Human Resources.

Boris Schwürz, Chairman of the General Works Council of MAHLE, expressed his satisfaction with the outcome of the negotiations: “The future collective agreement takes us down a new path to ensure that MAHLE remains competitive in the future and that employment is secured at the German locations. However, this agreement is also a clear signal to all locations to now deal intensively with the goal-setting processes and to design concepts for the future. Company agreements on the future support and frame this process. This includes, for example, measures to secure employment such as dismissal protection and partial retirement as well as the promotion of qualification and training.”

Matthias Fuchs, chief negotiator for IG Metall Baden-Württemberg union, sees a great opportunity in the agreement: “The collective agreement offers security for the employees and gives them many opportunities to play a decisive role in shaping the transformation of MAHLE in their interests. This opportunity must now be seized. As IG Metall in Baden-Württemberg, we are already actively underway with the “Team Transformation” at the locations. With the future check and the participation of the colleagues, we are now starting the goal-setting processes.”

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