FRANKFURT -- DaimlerChrysler's employees' representative, Erich Klemm, told German daily Frankfurter Allgemeine Zeitung he would welcome Volkswagen taking a stake in Daimler.
"I have no problem with VW, they're organized labor. We prefer anyone that knows about building cars, as opposed to some hedge fund," he said in an interview to be published on Thursday.
"DaimlerChrysler has no stable (shareholder) structure," he continued.
Apart from heading the group's works council, Klemm is the deputy chairman of the supervisory board, half of whose members are employee representatives.
Late last week, German media reports emerged saying Volkswagen and Daimler had discussed the idea of a cross shareholding to prevent any hostile takeovers.
Daimler said at the time that VW had approached it concerning a stake, but that talks led nowhere, and it has no plans at present to buy a stake in Volkswagen.
The Stuttgart-based firm will be the only German carmaker not to have a stable shareholder structure now that Porsche has announced plans to buy a 19 percent stake in VW.
Daimler's Klemm said he did not accept management plans to cut 8,500 German jobs through voluntary measures such as severance packages, which Daimler expects will cost 950 million euros ($1.14 billion) in restructuring charges.
"In the case that many opt for early retirement, then that can become significantly more expensive than management expects," the works council boss said.
He also said closing any Mercedes-Benz manufacturing plants was "taboo".