JAKARTA – The global shortage of chips has forced many technology companies and vehicles to stop operating. Instead of furloughing its employees who cannot work, the Mercedes-Benz Group has another plan.
The German automaker announced on Monday, April 4 that it will put more than 5.000 workers on collective vacation at two factories in Brazil due to a shortage of semiconductor chips.
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The production shutdown will occur from April 18 to May 3 and includes 5.000 employees at the Sao Bernardo do Campo plant and 600 at the Juiz de For a plant. Each of these factories is located in the Brazilian states of Sao Paulo and Minas Gerais.
Mercedes said it was adjusting the production of trucks, truck cabs, bus chassis, and other auto parts due to the global semiconductor supply crisis.
The company had put about 1.200 workers on collective vacation on a fixed salary in March due to supply chain shortages. This decision received rave reviews from the metal workers union of the Sao Bernardo do Campo region.
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