Which Mahle sites are affected?

The main focus is Germany, particularly the Stuttgart region (headquarters) and Kornwestheim. The Neustadt an der Donau site (around 350 employees) is set to wind down from the end of 2026 and close completely in the first half of 2027.

Why is Mahle cutting jobs?

The company cites expiring customer contracts, declining market trends in the combustion engine business, and growing cost pressure from competition. Like many suppliers, Mahle is under pressure from the transition to electric mobility.

I am being asked to forgo part of my salary: what does that mean?

At the Stuttgart and Kornwestheim sites, an income reduction has been agreed in return for securing jobs until at least the end of 2029. Arrangements like this are complex: we check which commitments are legally binding in return, and what this means for any severance pay later on.

Should I sign a Mahle termination agreement (Aufhebungsvertrag)?

Not without having it checked first. A termination agreement can trigger a benefit suspension period (Sperrzeit) for unemployment benefit (§ 159 SGB III). We check whether the severance amount, garden leave, remaining holiday and your reference are properly regulated, and whether contesting the dismissal or a transfer company would get you more in the case of a plant closure.

What does this cost you?

The initial consultation involves no upfront cost. If you instruct us, we work with litigation funding, so you take on no upfront cost, paid only on success. If successful, we keep a transparently agreed share of the severance pay. Legal representation is provided by our partner law firm MK Law.

Severance pay (Abfindung) at Mahle: what matters for you now

Mahle has been cutting jobs in several stages since 2025. According to public reports, around 600 jobs were cut in Germany in 2025, plus a further 1,000 worldwide (mainly in administration and research). In May 2026, the announcement of the plant closure in Neustadt an der Donau (around 350 employees) followed (sources: Stuttgarter Zeitung, Staatsanzeiger BW, ad-hoc-news, 2025 to 2026).

Reviewed by specialized labor lawyers · Updated: July 2026

Stuttgart-based automotive supplier Mahle has been cutting jobs in several stages since 2025 as a result of the industry crisis, mainly in Germany, particularly the Stuttgart region.

In May 2026, Mahle announced the closure of its Neustadt an der Donau site (around 350 employees); production is set to wind down from the end of 2026, with full closure planned for the first half of 2027.

According to public reports, around 600 jobs were already cut in Germany in 2025, plus a further 1,000 worldwide (administration and research).

At the Stuttgart and Kornwestheim sites, employees are forgoing part of their income to secure jobs until at least the end of 2029.

Mahle is bound by the collective agreement with IG Metall; negotiations are being conducted through the works council (Betriebsrat) and a social plan (Sozialplan).

The three-week deadline for filing a claim (§ 4 KSchG) applies as soon as an actual dismissal is issued. We review your case on a success basis, with no upfront cost risk.

Job cuts at Mahle: the current situation

Stuttgart-based automotive supplier Mahle is bearing the brunt of the transition to electric mobility. Expiring customer contracts in the combustion engine business and rising cost pressure have led to several rounds of job cuts since 2025 (Stuttgarter Zeitung; Staatsanzeiger BW).

Germany is mainly affected, particularly the Stuttgart region. In May 2026, Mahle also announced the closure of its Neustadt an der Donau site.

The numbers at a glance

Around 600 jobs cut in Germany in 2025 (according to public reports).
A further 1,000 jobs cut worldwide (administration and research).
Neustadt an der Donau: closure announced in May 2026, around 350 employees.
Income reductions in Stuttgart and Kornwestheim to secure jobs until the end of 2029.

Plant closure in Neustadt an der Donau

Production in Neustadt an der Donau is set to wind down from the end of 2026, with full closure planned for the first half of 2027. When a business closes, a reconciliation of interests (Interessenausgleich) and a social plan (Sozialplan) are the key levers for your severance pay, and the question of transfer company or severance pay becomes very real for many employees. We check which route is better for your situation.

Reviewing your offer

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

Is the severance pay calculated correctly (gross salary, years of service, bonus components)?
Are garden leave, remaining holiday, any outstanding bonus entitlement and your reference properly regulated?
How does accepting it affect your unemployment benefit (a benefit suspension period under § 159 SGB III), pension and tax (one-fifth rule, Fünftelregelung)?
Given the plant closure, would a transfer company be the better option?

If you are dismissed

If Mahle issues an operational dismissal, the three-week deadline under § 4 KSchG applies. At a large, collectively bound company with a works council (Betriebsrat), the prospects of success for an unfair dismissal claim (Kündigungsschutzklage) are generally good, and proceedings often end with a severance settlement.

How Team Abfindung works

Initial consultation at no upfront cost: we review your offer or dismissal.
Instruction: litigation funding with no advance payment.
Negotiation through our partner law firm MK Law.
Court proceedings if necessary at Stuttgart Labour Court or the relevant court.
Settlement or judgment, usually severance pay at the initial hearing (Gütetermin).

Frequently asked questions