DEUTZ says a near €41 million investment in its German sites will help the off-highway machine diesel engine maker become more competitive and innovative while maintaining jobs.
The company and IG Metall labour union have today agreed on a supplementary collective pay agreement with a three-year term. The main agreed points are capital expenditure of around €41 million at the German sites to make them more competitive and enhance their ability to innovate; the protection of jobs and sites in Cologne, Herschbach, and Ul; and savings on staff costs as a result of an unpaid increase in working hours and other financial contributions from all employees during the term of the agreement.
This is said to represent another major step in safeguarding the company’s operations in Germany, following on from the signing of the ‘DEUTZ Pact for the Future – Transform for Growth’ key issues paper in August and the start of the volunteer programme on 1 September 2020 that was in the paper. These measures will also further strengthen the company’s competitiveness.
“The action plan agreed today constitutes further progress in safeguarding the future viability of our company. We are aware that, with the signing of this agreement, our employees are making a significant contribution to protecting jobs at our sites in Germany,” says Dr Frank Hiller, chairman of the Board of Management of DEUTZ. “The labour union, workforce, and the company have worked together in an exemplary fashion to find a good solution.”
