EMCC European Monitoring Centre on Change

Vald Birn

Company/Organisation:
Vald Birn

Geographic Location

Country: Denmark
Region: Ringkøbing amt
Location of affected unit(s): Holstebro

Company

Sector: Manufacturing
Manufacture of basic metals and fabricated metal products, except machinery and equipment
24.51 - Casting of iron
Number Employed: 480

Employment Effects

Announcement Date: 24-06-2020
Planned Job Reductions min: 120
Planned Job Reductions max: 120
Type of Restructuring: Internal restructuring
Employment Effect Start: 29-06-2020
Foreseen End Date: 29-07-2020
Direct Dismissals: 120

Additional Information

Vald Birn is active in iron casting in Denmark and primarily supplies the auto industry. The company has experienced lower demand due to the Corona-crisis and has laid off 120 employees. Despite state funded salary compensation for 140 employees, the company expects lower demand in the future and the yearly turnover in 2020 to be 33 per cent lower than 2019. Since the state funded compensation will not continue, the company has decided to restructure, so the number of employees reflects the lower demand for parts. The auto industry in Sweden and Germany are affected by the Corona-crisis and this also affects Vald Birn as truck producers in these two countries account for 60% of the Danish company's production.

Sources: