Michael Brecht is new deputy chairman of Daimler supervisory board

Article by Christian A., on May 5, 2014

Michael Brecht is replacing Erich Klemm as deputy chairman of Daimler’s supervisory board. Daimler said in a statement that Klemm has stepped down from his role and will commence a period of part-time work to prepare for his early retirement. Klemm is known as a vocal critic to cutbacks at Daimler and was responsible having cost-cutting expert Wolfgang Bernhard reassigned as a condition for backing a contract extension for chief executive Dieter Zetsche.

Brecht has been a member of the supervisory board since 2012 and was named as chairman of Daimler's general works council on April 2. He has also been a member of the works council at Mercedes’ Gaggenau site in Germany, since 1990, and its chairman since 1998.

Zetsche is currently implementing his cost-cutting program at Daimler, and in the process has engaged against Klemm and the carmaker’s unions. Analysts have remarked that Daimler needs to implement more cuts to make its Mercedes-Benz unit profitable enough to rival Audi and BMW.

In 2013, Mercedes-Benz Cars -- including the Smart brand -- had a return on sales of 6.5 percent, compared with Audi's 10.1 percent and BMW's 9.4 percent. Klemm’s aides said the supervisory board decided unanimously to transfer Bernhard from Mercedes to Daimler’s truck unit.

Sources privy with the negotiations, however, told Reuters that Klemm stipulated that union officials would only approve Zetsche’s contract extension if Bernahrd is transferred from Mercedes. Bernhard had fought with Klemm over how to revamp output at Mercedes’ Sindelfingen site to cut production time per vehicle from an average of 60 to just to 30 hours.

On the other hand, Daimler named Ergun Lumali to replace Klemm as an ordinary member on the board. Lumali currently serves as deputy chairman of the works council at Daimler and chairman of the works council at Mercedes’ Sindelfingen site in Germany.

Topics: daimler

If you liked the article, share on:

Comments

Recommended

The primary suggestion of a 4x4 ute from French company Peugeot was first revealed in 2016. Fifteen months later, the production version is launched. Now, Peugeot is not shying away...
by - June 24, 2017
The new Jaguar E-Pace crossover will soon hold its official launch on July 13 and is expected to arrive at the showrooms by early next year. It couldn’t have come...
by - June 24, 2017
As prices of the original Shelby Cobra have skyrocketed into astronomical proportions, there are firms like Superformance that serve replicas to consumers who demand the same levels of performance at...
by - June 24, 2017
New and improved 2018 Subaru Legacy comes packed with a number of upgraded features from the get go - from the exterior to the interior. And the company has finally...
by - June 23, 2017
In an interview involving Lamborghini CEO Stefano Domenicali and Automotive News, the topic about the Urus was thoroughly discussed. This super SUV is scheduled to make its debut later this...
by - June 23, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries