Deutsche Post to cut 10,000 jobs in Germany every year

Deutsche Post, the German postal service operator, intends to cut around 10,000 jobs in Germany every year, but has no plans to extend working hours or to reduce personnel costs further. Management also revealed yesterday that it had reached an agreement with trade unions, as part of which it had committed itself not to make any staff redundant until March 2008.

Walter Scheurle, personnel director at the group, announced that pay differences between western and eastern Germany had been eradicated and that employees had the option to work more than their agreed 38.5 hours per week. In future, staff will also be paid partly according to their performance. The variable part of their salary will amount to between 5 per cent and 17.5 per cent. Deutsche Post has cut a total of 150,000 jobs since German reunification in 1990. Last year alone, it cut nearly 12,000 full-time posts in Germany.