EMCC European Monitoring Centre on Change

Schuler

Company/Organisation:
Schuler

Geographic Location

Country: Germany
Region: Stuttgart; Baden-Württemberg
Location of affected unit(s): Göpppingen, Erfurt

Company

Sector: Manufacturing
Manufacture of machinery and equipment n.e.c.
28.99 - Manufacture of other special-purpose machinery n.e.c.
Number Employed: 4195

Employment Effects

Announcement Date: 29-07-2019
Planned Job Reductions min: 500
Planned Job Reductions max: 500
Type of Restructuring: Internal restructuring
Foreseen End Date: 31-12-2022

Additional Information

German company  Schuler, the leading manufacturer of presses for the automotive and metal manufacturing industry, announced a restructuring plan aimed at safeguarding its future competitiveness (Zukunfstkonzept) which entails the cutting of 500 out of a total of  4,195 jobs in Germany, and the strengthening of manufacturing operations abroad. The restructuring process shall be completed by 2022. Details of the implementation process are still to be negotiated with the works council and the trade union IG Metall  but according to the company, technical professions, including engineers, will be  the most affected.

Management stated that the plan is a reaction to the low domestic demand compared to the high German production costs, and to the rising demands in Asia and Brazil. Research and development and administration shall be centralised at Schuler's headquarter in Göppingen in southwest Germany and the production of new presses relocated from southwest Germany to the eastern part of the country in Erfurt; moreover, production in Asia and Brazil shall be expanded. 

The restructuring shall entail the cutting of 300 jobs in Göpppingen, 80 jobs in four smaller regional locations in Baden Wuerttemberg and about 120 jobs in Erfurt.

The precise number of job cuts may change following negotiations with the trade unions.

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