Severance pay (Abfindung) at Daimler Truck: what matters now

On 8 July 2025, at its Capital Markets Day in the US, Daimler Truck announced plans to cut around 5,000 jobs in Germany by 2030. The cuts are part of the "Cost Down Europe" savings programme and are meant to happen largely through natural staff turnover and partial retirement (Altersteilzeit); the company says targeted severance programmes remain possible on top of that (sources: Handelsblatt; produktion.de, 09.07.2025; Daimler Truck Capital Market Day 2025).

Reviewed by specialized labor lawyers · Updated: September 2026

Job cuts at Daimler Truck: the current situation

The commercial vehicle manufacturer Daimler Truck (Daimler Truck AG, headquartered in Leinfelden-Echterdingen) announced on 8 July 2025, at its Capital Markets Day in the US, that it plans to cut around 5,000 jobs in Germany by 2030 (Handelsblatt; produktion.de, 09.07.2025).

The cuts are part of the "Cost Down Europe" savings programme, aimed at reducing annual costs by more than one billion euros. The background is a clear drop in demand following the post-pandemic ordering boom. One important distinction: since the 2021 spin-off, Daimler Truck has been an independent, publicly listed company, not the same as Mercedes-Benz Group AG (the passenger car manufacturer). Mercedes-Benz has its own separate page.

The figures at a glance

  • Around 5,000 jobs in Germany by 2030, announced on 8 July 2025.
  • Programme: "Cost Down Europe", aim: more than one billion euros in annual cost savings.
  • Largely through natural staff turnover and partial retirement (Altersteilzeit); the company says targeted severance programmes remain possible on top of that.
  • Particularly affected: the plants in Wörth, Gaggenau, Kassel, Mannheim and Stuttgart.
  • Dismissals for operational reasons ruled out until the end of 2034.

The figure of 5,000 is a target announced for 2030, not dismissals that have already taken place. How much of this happens through partial retirement, natural turnover or voluntary departures will become clear as the programme is implemented.

Social plan & job security

In May 2025, Daimler Truck reached an agreement with the group works council (Gesamtbetriebsrat) on socially responsible staff reductions; dismissals for operational reasons are ruled out until the end of 2034. For you, this means that leaving the company will usually happen through partial retirement or a voluntary termination agreement offer, and that is where your negotiating position matters.

If a change to business operations takes place, the works council (Betriebsrat) negotiates a reconciliation of interests (Interessenausgleich) and a social plan (Sozialplan) (§§ 111, 112 BetrVG); the social plan can, if necessary, be enforced through the conciliation committee (Einigungsstelle) (§ 112 para. 4 BetrVG). This is distinct from compensation for disadvantage under § 113 BetrVG, which applies when the employer deviates from the reconciliation of interests, not to the social plan itself. No specific severance factors for the current programme have been made public.

Reviewing a termination agreement offer

Before you accept a termination agreement, voluntary offer or partial retirement scheme, we typically check:

  • Is the severance pay calculated correctly (gross salary, years of employment, allowances)?
  • Are garden leave (Freistellung), remaining holiday, outstanding bonus entitlement and your reference (Zeugnis) properly settled?
  • How does accepting the offer affect your unemployment benefit, in terms of the benefit suspension period (§ 159 SGB III) and, if severance is paid without observing the notice period, the suspension of entitlement (§ 158 SGB III)?
  • Tax: the one-fifth rule (Fünftelregelung, § 34 EStG) may apply to your severance pay if income is bunched into one year. Since 1 January 2025, it is no longer applied during payroll tax deduction but only during your tax assessment.

If you are dismissed

If a dismissal is issued despite the agreement, the three-week deadline under § 4 KSchG applies: from the date you receive the dismissal notice, you have three weeks to file an unfair dismissal claim, otherwise the dismissal is treated as valid. There is no automatic, general entitlement to severance pay; however, in companies with strong worker representation, unfair dismissal proceedings often end in a settlement that includes severance pay.

How we work with you at Team Abfindung

  1. Initial consultation at no cost: we review your offer or dismissal notice.
  2. Taking on your case: litigation funding with no advance payment (legal service under the RDG).
  3. Negotiation through our partner law firm, MK Law.
  4. Legal action if needed at the competent labour court.
  5. Settlement or judgment, most often severance pay agreed at the initial hearing.

Team Abfindung has no affiliation with Daimler Truck AG or Daimler Truck Holding AG. All information is based on publicly available sources (as of September 2026) and may change as the programme is implemented.

Frequently asked questions

On 8 July 2025, at its Capital Markets Day in the US, Daimler Truck announced plans to cut around 5,000 jobs in Germany by 2030. The cuts are part of the "Cost Down Europe" savings programme and are meant to happen largely through natural staff turnover and partial retirement (Altersteilzeit); the company says targeted severance programmes remain possible on top of that (sources: Handelsblatt; produktion.de, 09.07.2025; Daimler Truck Capital Market Day 2025).

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