BERLIN -- Daimler AG will guarantee jobs of permanent employees through 2016, extending worker protections agreed as part of cost-cutting measures in 2009.
The agreement allows the maker of Mercedes-Benz cars, buses and trucks to use temporary workers for up to 8 percent of its production staff, the automaker said on Wednesday.
"Through the new agreement we are securing necessary and important personnel flexibility to be able to optimally react to demand at any time," CEO Dieter Zetsche said in the statement.
Daimler agreed to protect jobs as part of an effort to cut spending by 2 billion euros ($2.7 billion) in 2009 in response to the financial crisis. The protection from forced layoffs covers about 130,000 workers at the manufacturer, which currently employs about 4,500 temporary staff, spokesman Markus Mainka said.