Dasa to cut 7,500 jobs in two years

DEUTSCHE Aerospace (Dasa), a subsidiary of Germany's biggest industrial group, Daimler-Benz, is to cut 7,500 jobs over the next two years following a sharp drop in new orders, particularly in the defence area.

In a statement, Dasa said the German aerospace industry faced considerable uncertainties. 'Significant orders can only be expected when the Federal Armed Forces' new role in Nato is clearly defined,' the company said. Dasa employs about 70,000 staff.

Mercedes-Benz, Daimler's motor vehicle arm, underlined the problems facing the group when it announced a 7 per cent drop in global car sales for the first nine months of the calendar year. Mercedes sold 397,000 cars - DM30bn (pounds 12bn) worldwide during this period.

In Germany, the luxury car maker's sales fell 18 per cent, and it has already embarked on a large redundancy programme.