EMCC European Monitoring Centre on Change

Magyar Suzuki

Magyar Suzuki

Geographic Location

Country: Hungary
Region: Komarom-Esztergom; Kozep-Dunantul; Dunantul
Location of affected unit(s): Esztergom


Sector: Manufacturing
Manufacture of transport equipment
29.10 - Manufacture of motor vehicles
Number Employed: 2527
Group: Suzuki Motor Corporation

Employment Effects

Announcement Date: 22-05-2020
Type of Restructuring: Business expansion
Employment Effect Start: 22-05-2020
Foreseen End Date: 29-06-2020
Planned Job Creation: 400

Additional Information

Magyar Suzuki began expanding its workforce in its Esztergom unit during the second half of May. Some 400 new jobs will be created. This expansion comes after a workforce cut of 600, involving the company's agency workers and due to the COVID-19 crisis.

Magyar Suzuki stopped the production in the middle of March, then it restarted its activity in late April on a single-shift basis. By the end of June, however, the Suzuki plant in Esztergom will gradually switch to two-shift operation, which warrants a re-expansion of the reduced workforce. The management expects the European and Hungarian auto industry to recover from the COVID-19 crisis within the next 6-12 months.

The firm plans to recruit most of the agency workers dismissed in March. Moreover, now it intends to include the newly (re-)hired workforce into its own staff of employees. The new employees will maintain their former economic treatment and they will be paid a ‘return bonus’.

Magyar Suzuki is the Hungarian branch of the automotive company Suzuki and operates in the country since 1991.