Stuttgart-based Daimler AG and its subsidiary Mercedes-Benz are among the best-known car manufacturers in the world. A headhunter has now revealed what the employees actually earn.
Stuttgart – Daimler AG (BW24* reported) emerged from DaimlerChrysler AG in 2007, but the history of the Stuttgart group actually goes back to 1883 and the then company Benz & Cie. The world’s first automobile was built in what is now the state capital of Stuttgart*. Daimler is now known all over the world, which is mainly due to the luxury brands of the subsidiary Mercedes-Benz*. In the past year, the automaker has struggled with several problems that have led to massive job cuts.
The models of Daimler AG stand for German engineering and although the group is currently weakening, the vehicles are still popular worldwide. Many car fans and those interested in technology certainly dream of a career with the Swabian car manufacturer. A headhunter has now revealed how much the group’s employees actually earn, as reported by the image . The fact that Daimler boss Ola Källenius gets a lavish salary* should not surprise anyone.
Daimler AG: Salary depends on clearly defined hierarchies
Daimler AG acts as the parent company for the three legally independent subsidiaries Mercedes-Benz AG, Daimler Truck AG and Daimler Mobility AG. The Group, which is headquartered in the Untertürkheim district of Stuttgart, has a total of 298,655 employees (as of December 2019) spread across Daimler locations worldwide*. In Germany alone, 178,000 employees work for Daimler, around 145,000 of them at Mercedes. The hierarchy is clearly regulated at the car manufacturer. The salary of the employees usually also depends on this classification, as Bild reports. At the top is the Board of Management, headed by Daimler CEO Ola Källenius*. The other management positions are divided into different levels.
At Daimler AG, around 100 managers are directly below the Board of Management, they form level 1. Below them are the division managers (E2), the department managers (E3) and finally the team leaders (E4). A headhunter revealed to the picture that a team leader in the IT sector can earn around 140,000 euros gross per year. There is also a company car that is replaced with a new model every six months. At the higher levels, it could also be a G-Class or an AMG that costs well over 100,000 euros. A manager on the extended board can count on around one million euros a year, the headhunter said. However, the fixed salary amounts to 300,000 euros.
Selection of positions and associated annual salaries at Daimler AG :
|position||Annual salary (total compensation)|
|team leader||100,000 euros|
|project Manager||85,000 euros|
|development engineer||80,000 euros|
( Those: glassdoor.de )
Daimler AG: Under the E levels, the standard wage applies – and discounts on Mercedes models
The employees of Daimler AG are paid in Germany according to the collective agreement of the trade union IG Metall. There are the so-called pay groups (EG), as picture reports. The salary of the respective employee depends on the area, for example in assembly, and the years of service in the company. A career starter, for example, receives a gross salary of around 3,700 euros per month after training. A clerk in production planning, on the other hand, already has a gross monthly salary of 5,800 euros. Together with holiday and Christmas bonuses, a workshop programmer earns an annual salary of 60,000 euros, and a foreman over 50 receives around 73,000 euros a year.
While the executives of Daimler AG are provided with a company car, the employees below the E levels still receive a discount of 21.5 percent if they buy a new Mercedes and keep it for at least half a year, as the image reports. These now also include the new E-SUV EQA* and the upcoming electric S-Class EQS. Due to the massive economic and private consequences of the corona pandemic on employees, around 170,000 Daimler employees received a corona bonus of 1,000 euros* last year.
Daimler AG: Ola Källenius and the top management level – what do the top managers earn?
In 2019, Daimler AG paid out remuneration of 23.1 million euros to the members of the Board of Management. CEO Ola Källenius received 3.5 million euros. In the case of the top managers of the car manufacturer, however, the remuneration only accounts for a small part of the total remuneration, reports the picture . A complex system of performance-related, variable remuneration regulates how much money is actually paid out. According to this, Källenius could theoretically earn up to twelve million euros a year, the other board members up to 7.2 million. Due to the Corona crisis, however, the managers are forgoing part of their salary.
In addition, however, there are still large sums for pensions, which play an important role at Daimler AG overall. Dieter Zetsche, the former Daimler boss *, has accumulated around 42 million euros by the time he retires. *BW24 is part of the Ippen-Digital network.