Ola Källenius

Mercedes had announced its ambition to become fully electric wherever market conditions allowed by around 2030. Faced with slower adoption than expected, Källenius reaffirmed a strategy allowing flexibility between electric and combustion-engine vehicles, interpreted as a retreat from the original ambition.

State of the evidence

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Attribution

Direct responsibility

The UAW unionisation campaign at Mercedes' Alabama plant gave rise to allegations of anti-union practices and formal objections following the vote. NLRB proceedings followed, while in 2026 IndustriALL announced its withdrawal from its framework agreement with Mercedes on human rights, citing the group's conduct in the United States.

State of the evidence

Documented

In 2026, Mercedes sought to increase working hours for certain categories towards 40 hours without an equivalent pay rise. Protests drew tens of thousands of employees; in Sindelfingen, demonstrators chanted 'Ola raus', and the works council accused management of making employees pay for strategic errors.

State of the evidence

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Attribution

Direct responsibility

Mercedes tightened its office attendance rules, triggering another dispute with the works council. Källenius publicly embraced the decision to challenge working habits and disrupt harmony in order to change the internal culture.

State of the evidence

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Attribution

Direct responsibility

The strategy of moving Mercedes further towards the highest-end segments and prioritising price over volume faced increasing criticism as sales and margins weakened, notably in China. In 2025, the group reframed its positioning and placed greater emphasis on a broader range.

State of the evidence

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Attribution

Direct responsibility

Källenius' annual remuneration approached 12 to 13 million euros, triggering criticism as Mercedes simultaneously imposed savings and recorded a sharp decline in profits. The substantial increase compared with previous years fuelled debate over alignment between performance, employees and executive pay.

State of the evidence

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Attribution

Command responsibility

Employee representatives strongly criticised the management style and internal climate at Mercedes, describing control, coercion and a culture of fear. Their criticism targeted tougher performance and cost management under Källenius.

Attribution

Direct responsibility

Mercedes removed a CO₂ transformation target from certain management variable remuneration criteria, raising questions among investors and observers about consistency between its climate messaging and internal incentives.

State of the evidence

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Attribution

Command responsibility

As part of a new programme targeting several billion euros in savings, Mercedes offered very substantial voluntary severance packages. By autumn 2025, several thousand employees had agreed to leave the group, while unions condemned growing pressure on employment and the location of operations.

State of the evidence

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Attribution

Direct responsibility

Källenius publicly described absenteeism as too high and reopened debate over sick leave certificates issued by telephone. The works council responded that employees should not be collectively treated with suspicion and highlighted possible causes linked to working conditions.

State of the evidence

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Attribution

Personally implicated

Shortly after taking office, Källenius launched substantial reductions in costs and headcount, with several thousand positions eliminated or left vacant. The COVID crisis intensified the programme and fuelled works council criticism over how the burden was shared.

State of the evidence

Documented

Attribution

Direct responsibility