EMCC European Monitoring Centre on Change

Kloeckner Metals France

Company/Organisation:
Kloeckner Metals France

Geographic Location

Country: France

Company

Sector: Retail
Wholesale and retail trade; repair of motor vehicles and motorcycles
46.72 - Wholesale of metals and metal ores
Group: Klöckner & Co

Employment Effects

Announcement Date: 07-06-2020
Planned Job Reductions min: 403
Planned Job Reductions max: 403
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-09-2020

Additional Information

The French subsidiary of the German group Klöckner & Co, which is specialised in the sale of steel, metals and industrial supplies, has announced a refocusing of its activity. The plan envisages keeping 26 sites out of 37 in France and cutting nearly 360 positions affecting  staff in head office and agency staff. According to a company press release, the economic and health crisis due to COVID-19 has added to this situation and is severely affecting the company and its customers. Even with an optimistic medium-term economic recovery in sight, and despite the efforts and support of the parent company, the group in France has noted that it will unfortunately not be able to regain the financial equilibrium necessary for its sustainability. In this context, Kloeckner Metals France has decided to take emergency measures to safeguard the jobs of its employees and its presence in France. This project envisages 360 job cuts at Kloeckner Metals France and 43 job cuts at its subsidiary Prafer. 
On 7 June, a draft social plan was presented to the works councils of the two entities. The first job cuts are expected by September 2020.

A former reorganisation entailing 349 job cuts was announced in 2015.

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