The Slovak subsidiary of Brazilian producer of compressors and cooling systems Embraco plans to cut around 200 jobs at its factory in Spiska Nova Ves. The planned redundancies are attributed to the long-term lower demand due to the COVID-19 crisis. According to the CEO Marcelo Borba, the factory has been struggling with a rapid fall in orders for over a month and in April and May 2020 it had to suspend its production several times.
The factory has around 2,150 employees and the planned job cuts should secure work and pay for the remaining workers. The company also applied for state subsidies, but this help is not enough to cover all losses. Embraco is part of the Nidec Global Appliance global division.