In order to accelerate the transformation towards “digital first”, Mercedes‑Benz AG plans to hire around 1,000 software developers to make Sindelfingen the central campus for the development of the future operating system MB.OS within the company’s global research and development activities. After intense negotiations, the company’s management and works council agreed on a new package of regulations and a new supplementary collective bargaining agreement which enable Mercedes-Benz to offer attractive conditions with high flexibility, scope for creativity and a high level of performance orientation. The new conditions on the aspects of working hours and remuneration are specially tailored to the needs and demands of software experts. In addition 2,000 jobs will be created in the global R&D network at tech hubs such as Berlin, Tel Aviv, Seattle, Sunnyvale, Beijing, Tokyo and Bangalore.
The Mercedes-Benz site in Sindelfingen is one of the most traditional vehicle plants of Daimler AG and, as a competence centre, is responsible for manufacturing upper and luxury class vehicles within the global production network. It is also considered to be the world’s leading competence centre for security, innovation and design. The agreement strengthens Sindelfingen’s role as a central development and qualification hub for experts in the field of software competence at the already existing Mercedes-Benz Technology Center. This will lead to changes in job profiles in the medium term, and current employees will be offered targeted qualification measures by its own Tech Academy. These future-oriented training opportunities give employees an opportunity to actively participate and advance the transformation towards a software-driven company.
Sajjad Khan, Chief Technology Officer and Member of the Board of Management of Mercedes-Benz AG:
“With the successful conclusion of the negotiations between the management and the works council at the Sindelfingen site, we are accelerating the transformation. In order to develop our future operating system MB.OS in-house, we rely on a team of highly qualified employees, which we are now strengthening by up to 3,000 new positions of software experts around the world. Software changes the world, forms the central nervous system of our modern vehicles and is the decisive success factor for digital innovations. It enables a safe, comfortable, but also luxurious customer experience. In the long term, we plan to generate more than 60 percent added value in the field of software in car, cloud and in IoT applications in-house.”
Sabine Kohleisen, Member of the Board of Management of Mercedes-Benz AG, responsible for Human Resources and Labor Director:
“With the agreement, we are offering an attractive package for candidates in the software development sector by addressing the requirements of the modern working environment. We create ideal framework conditions for a high degree of independence, performance-oriented remuneration and individual freedom. Already today, we are preparing all new employees in the MB.OS environment intensively for the new tasks with on‑board technical training. With our Tech Academy we also offer excellent qualification opportunities – because lifelong learning will shape the professional life of the future.”
Ergun Lümali, Chairman of the Works Council at the Mercedes-Benz Sindelfingen site, Deputy Chairman of the General Works Council and Member of the Supervisory Board of Daimler AG and Mercedes-Benz AG:
“The focus in the automotive industry is known to increasingly shifting towards bits and bytes. Our aim is to shape this transformation in a fair and social manner. In in-depth negotiations with the company, we required together with IG Metall, innovative operational solutions according to the collective agreement for our agreement on the Software Campus. In order to remain an attractive employer in new fields of work in the future, we need to adapt to the interests and expectations of new employees and orientate ourselves on the existing standards of the software industry. In Sindelfingen, we have excellent conditions for these measures. We therefore have done everything we can to create around 1,000 new jobs for software developers in addition to the existing workforce. Of course, there are also new opportunities for colleagues who are already on board to develop further in this direction.”
Digitalisation paves the way for a new era of mobility
The company pursues a holistic approach in the field of software competence for vehicles, which ranges from basic research and development to coding of software scopes. In addition, the location is consistently expanding its already broad expertise in the field of electrics and software as a future campus for the development of the Mercedes-Benz Operating System (MB.OS) as part of the already existing Mercedes-Benz Technology Center. The future “Mercedes-Benz Electric Software Hub” plays a central role as an integrative competence centre for electric and electrified drives and digitization. This offers a state-of-the-art work environment on an area of approx. 65,000 m² (approx. eight football fields) and is scheduled to go into operation in early 2022.
The introduction of MBUX (Mercedes-Benz User Experience) revolutionized the intuitive operation of the car. The strengths of the system include innovative hardware components such as high-performance chips and high-resolution screens as well as adaptive software that enables customizable functions and services. The next, revolutionary step is a specially developed, holistic computing architecture “MB.OS” (Mercedes-Benz Operating System). Just as with the electric drive train and battery technology, it is also important in this area to be in control of the software and electronics in the products. Perhaps, unlike a smartphone, in which the housing can be replaced, automotive engineered hardware and software are two sides of the same coin. This applies in particular to the premium and luxury areas, where customers want to stand out and are looking for something special.
The global teams of experts are working consistently to bring their own, data-supported and flexibly updatable Mercedes-Benz operating system into Mercedes-Benz vehicles in 2024. Thus working to intelligently network the vehicle with the cloud and the IoT world. This dominance of the software platform over the domains in the vehicle to the cloud and the IoT world is an important basis for reacting even faster and more flexibly to customer needs for digital services and extended product features during the product life cycle. The company plans to generate around € 1 billion EBIT with digital services by 2025. In this way, Mercedes-Benz is underpinning its claim to leadership in the field of vehicle software in addition to its consistent electric offensive with the clear goal of decarbonisation.