EMCC European Monitoring Centre on Change

Benteler Steel/Tube

Company/Organisation:
Benteler Steel/Tube

Geographic Location

Country: Germany
Location of affected unit(s): Paderborn, Dinslaken, Lingen und Bottrop

Company

Sector: Manufacturing
Manufacture of basic metals and fabricated metal products, except machinery and equipment
24.1 - Manufacture of basic iron and steel and of ferro-alloys
Number Employed: 4000
Group: Benteler International

Employment Effects

Announcement Date: 21-11-2019
Planned Job Reductions min: 600
Planned Job Reductions max: 600
Type of Restructuring: Internal restructuring
Foreseen End Date: 31-12-2021

Additional Information

Benteler Steel/Tube, a leading steel manufacturer of seamless tubes for the automotive industry, announced 600 job cuts in Germany by 2022 due to the global restructuring of the automotive sector. Five plants will be affected - two plants in Paderborn, Dinslaken, Bottrop and Lingen.

The announcement took the trade union IG Metall by surprise because the workers are covered by a collective agreement, settling that no jobs will be cut until the end of 2021. The management explained that the company has to react to the market changes for securing most of the 4,000 jobs in Germany. According to the union, however, the company breaches the collective agreement. Currently, the negotiations between both sides are ongoing.

The German Benteler Steel/Tube's headquarter is located in Paderborn. However, strategic decisions are taken by the directorate in Benteler International centre, placed in Salzburg, Austria. 

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