Mercedes-Benz parent company Daimler is preparing to layoff 15,000 workers as it tries to adapt to electric cars

• Daimler AG is reportedly considering up to 15,000 layoffs, as reported by German newspaper Handelsblatt.
• The German automaker, which owns brands like Mercedes-Benz, Maybach, and Smart, had previously announced it would eliminate at least 10,000 jobs by 2022.
• A Daimler spokesperson said the company is "aiming to cut a low five-digit figure of jobs worldwide by the end of 2022" as it looks to reduce roughly $1.5 billion in personnel costs.
• The industry is facing tough times, with automakers announcing 80,000 planned jobs cuts in 2019.
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Automaker Daimler AG is reportedly considering up to 15,000 layoffs in the coming years, according to German newspaper Handelsblatt.

Daimler announced in December that it would slash its headcount by an amount in the "five digits" by 2022 in order to squeeze $1.5 billion of savings from its spending. If the report of the 15,000 layoffs proves correct, Daimler would be well on its way to carrying out the reorganization as it adapts to an industry-wide shift to electric vehicles.

"Daimler and the General Works Council agreed on key points in order to streamline the group structure and thus increase efficiency and flexibility," a spokesperson told Business Insider, referring to the company's deal with its workers' labor union.

"Part of this involves reducing personnel costs by around 1.4 billion Euro by the end of 2022," they said, adding that "as mentioned in December 2019, Daimler is aiming to cut a low five-digit figure of jobs worldwide by the end of 2022."

The spokesperson declined to comment on the Handelsblatt report. Sources had told Handelsblatt that Daimler is considering a mix severance payments, early retirement and partial retirement for workers whose jobs it eliminates.

It's not clear if the 15,000 job cuts would represent the entirely of the company's planned "five figure" workforce reductions, or just a first installment.

The auto industry has been facing tough times as demand withers and the push toward electric or alternative fuel vehicles charges ahead. Automakers have announced at least 80,000 job cuts planned over the next few years, and Daimler itself announced three separate profit warnings to investors in 2019.