German car parts supplier Continental On Tuesday, he announced serious employment reductions, including the closure of one of his factories. As a reason, Continental gave the need to reduce costs in the face of recession in the German automotive industry.
3000 jobs for liquidation
Continental said that by the end of 2026 in the research and development department of the concern About 3,000 work stations will be reduced. Half of them will affect the plants in Germany.
As part of these reductions The plant in Nuremberg will be closed. While other plants in Germany, v Hesse and Bavariathere will be breaks in action.
Currently, reductions are not the first move of this type aimed at reducing costs. A year ago the company Continental announced a series of cuts in which 7150 jobs were liquidated in the company’s automotive department. Despite this, the effects cannot be seen, as confirmed by a company spokesman who said that despite previous budget cuts, the company would not achieve financial goals due to a difficult market situation.
What does employees say?
The company announced that it intends to carry out exemptions in the most responsible possible. Most of the reduction will consist in failure to retire employees or resign from work.
Employee representatives have sharply criticized the company’s decision. Michael Iglhaut, head of the Company Council, said in a statement that employees are deeply concerned that serious Cutting expenditure on research and development in the automotive industry will turn into comprehensive restructuring.
“Settlement of jobs and reducing costs at all costs” is not a balanced strategy for the future, “said Iglhaut.
Representatives of employees and trade unions will now negotiate the dismissal details with the company, and The company’s shareholders still must approve this plan at the upcoming general meeting of Continental.
