Is the Mercedes severance programme still running?

The first round officially ran from April 2025 to the end of March 2026. Because the number of departures fell short of management expectations (source: mbpassion, April 2026), and the €5 billion savings target by 2027 still stands, further voluntary programmes or follow-up offers are considered likely. If you receive an individual offer now, you should have it independently reviewed.

Can Mercedes-Benz dismiss me for operational reasons?

In principle, no: the employment protection agreement reached with the works council (Betriebsrat) rules out operational dismissals until the end of 2034. That is precisely why job cuts run through severance offers based on double voluntariness, and precisely why your negotiating position is strong: without your signature, the company cannot end your job.

What does "double voluntariness" mean?

Both sides have to agree: you want to leave AND management wants to let you go. In practice, this means the reverse for you too: nobody can force you to sign. An offer is an invitation to negotiate, the amount, end date, garden leave, and reference (Zeugnis) can all still be shaped before you agree.

Should I accept a severance offer from Mercedes?

That depends on the overall package: the amount compared to your profile and your strong starting position (dismissals excluded until 2034), the risk of a benefit suspension period (Sperrzeit) for unemployment benefit, whether the notice period is respected, tax treatment (the one-fifth rule, Fünftelregelung), and your next steps afterwards. We assess all of this in a first consultation at no cost to you, before you sign anything.

What does advice from you cost?

The first consultation costs you nothing. If you instruct us, we work on a success basis through litigation funding, so you carry no upfront cost risk.

Severance Pay at Mercedes-Benz 2026: What Matters Now for You

The amount depends on length of service and salary. In the 2025/26 severance programme, amounts of up to €500,000 were reported depending on the individual profile (source: Business Insider); one example from media reports: around €350,000 for someone earning approximately €7,400 a month with long service, including the early decision-maker top-up. Only a calculation based on your specific offer is reliable, and we do that together with you.

Reviewed by specialized labor lawyers · Updated: July 2026

From April 2025 to March 2026, Mercedes-Benz offered a voluntary severance programme to around 40,000 employees outside production (administration, development, IT) (sources: Business Insider, mbpassion).

Around 5,500 employees accepted the offer; reported severance payments ranged, depending on salary and length of service, up to €500,000.

Early decision-makers who signed by the end of July 2025 received a "turbo offer": a 10% top-up plus six additional gross monthly salaries.

The programme operated on the principle of "double voluntariness": both the employee AND management had to agree.

Operational dismissals are excluded at Mercedes-Benz thanks to employment protection (Beschäftigungssicherung) until the end of 2034, so job cuts run exclusively through voluntary offers.

According to reports, the savings target (€5 billion by 2027) has not yet been reached, so further programme rounds are considered likely. We review every offer at no upfront cost to you, paid only on success.

Job cuts at Mercedes-Benz: what's happening right now?

Mercedes-Benz aims to save around 5 billion euros by 2027. The background is pressure on sales, high investment in electrification and digitalisation, and weaker margins. At the heart of the workforce reduction was a voluntary severance programme for employees outside production (Business Insider; mbpassion, April 2026).

Unlike at VW or ZF, there is no official target headcount for the cuts: the company steers by the savings target instead. Around one billion euros of the savings is meant to come from the severance programme.

The 2025/26 severance programme in figures

Duration: April 2025 to the end of March 2026.
Target group: around 40,000 employees outside production, in administration, development, and IT.
Uptake: around 5,500 employees accepted the package.
Amount: tiered by length of service and salary; media reports mention amounts of up to €500,000.
Early decision-makers ("turbo"): anyone signing by the end of July 2025 received a 10% top-up plus six additional gross monthly salaries.
Principle: double voluntariness, meaning no departure happens without agreement from both sides.

Your strongest card: employment protection until the end of 2034

An employment protection agreement has been reached with the works council (Betriebsrat) that rules out operational dismissals until the end of 2034. This shifts the balance of power clearly in your favour: Mercedes can only cut jobs if employees leave voluntarily, and it has to pay for that "yes" accordingly. A first offer is therefore rarely the last word.

What happens next in 2026

According to media reports, the number of departures fell short of internal expectations, and management was reportedly unhappy with the pace of the cuts (mbpassion, April 2026). As long as the 5 billion euro target stands and dismissals remain excluded until 2034, the incentives point towards further voluntary programme rounds or individual offers. If you're approached, don't decide under time pressure: reviewing an offer takes far less time than regretting it later.

Received a termination agreement or severance offer? Get it reviewed first

The main things to check are: the amount compared to your profile and your strong starting position, the risk of a benefit suspension period (Sperrzeit) for unemployment benefit (is the reason for ending employment worded cleanly?), the notice period (an earlier end date can trigger a suspension of benefits under § 158 SGB III), waiver and settlement clauses, and the tax structuring (the one-fifth rule, timing of payment). Upload your document, and the critical points are flagged within seconds, at no cost to you.

How it works with us

A first consultation at no cost to you, an assessment of your offer by our specialist partner law firm, and, if you instruct us, negotiation backed by litigation funding, with no upfront cost risk for you. Here's how the cost model works.

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