MAN Truck & Bus is preparing for profound changes in the commercial vehicle industry

Management and works councils in talks to increase the profitability of the company and to consistently realign it

The commercial vehicle manufacturer MAN Truck & Bus sets the course to prepare the company for the profound changes in the transport industry. Employers and employees are currently in initial discussions about how efficiency and profitability can be sustainably increased in order to actively promote MAN’s transformation.

The new MAN truck generation, which was presented to the public in February 2020, comes at the right time. Thanks to a large number of innovative technologies, it is MAN’s answer to the megatrends in the industry. Digitalization, alternative drives, and autonomous driving will shape the future of the industry. Very high investments will continue to be necessary for a strong competitive position in the future.

“We are excellently positioned with our products in the truck, bus, and van sectors. With the cost structure of our company, however, there is clearly a need for action. We have to increase our profitability significantly in order to strengthen our future competitive position and to be able to make the high investments to transform MAN. Significant job cuts, especially in the indirect areas, may also be necessary. We are currently considering a variety of different measures to make MAN fit for the future: We want to strengthen individual areas in a targeted manner, reduce other activities or stop them altogether. This is how we actively help shape technological change. We are in initial discussions with the employee side on all points,” says Joachim Drees.

In the past few years, the company had continuously worked on increasing its profitability and significantly reducing its costs. However, further measures are necessary to make MAN significantly more efficient and profitable.

The efforts on the cost side are the basis for a consistent structural realignment of MAN Truck & Bus. In an intensive strategy process, management is currently reviewing all activities for their future viability and is setting new priorities. The cooling demand for trucks in the European market increases the pressure to act but is not the main driver of the transformation.

Discussions between the executive board and the general works council currently focus on which measures are taken and implemented.