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

It has been two years since Fiat Chrysler Automobiles started courting suitors for a potential buyout. Naturally, two Chinese automakers namely Guangzhou Automobile Group and Great Wall Motor Company have...
by - September 24, 2017
What is your favourite colour? Is your car finished in the colour that reflects your personality? Nissan recently did a study about the correlation between the colour of a person’s...
by - September 24, 2017
The BMW X2 will be the company’s next entry-level compact crossover to join the lineup. And because of that, it needs to up its game so it makes sense for...
by - September 24, 2017
Just a month ago, Wolfgang Durheimer, the former president of Bugatti, was removed from the company so he could replace Stephan Winkelmann, former Lamborghini CEO and Audi Sport boss as...
by - September 23, 2017
BMW will be launching a new Competition Package especially for the M5’s 2018 model year. While in Frankfurt, Andy Cook, BMW’s product exec has talked with Motor 1 regarding some...
by - September 22, 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