EMCC European Monitoring Centre on Change

Vestas

Company/Organisation:
Vestas

Geographic Location

Country: World
Location of affected unit(s): Denmark, USA and other countries

Company

Sector: Manufacturing
Manufacture of machinery and equipment n.e.c.
28.11 - Manufacture of engines and turbines, except aircraft, vehicle and cycle engines
Number Employed: 24000

Employment Effects

Announcement Date: 12-01-2012
Planned Job Reductions min: 2335
Planned Job Reductions max: 3935
Type of Restructuring: Internal restructuring
Employment Effect Start: 13-01-2012
Foreseen End Date: 31-12-2012

Additional Information

On 12 January 2012, the world's biggest maker of wind turbines, Vestas, announced 2,335 job cuts worldwide (about 10% of its workforce) in the framework of a major restructuring plan, which will also probably lead to 1,600 job cuts in the United States. Of the 2,335 job cuts, 1,800 are located in Europe. Vestas already cut 1,900 jobs in April 2009 and 3,000 in October 2010. Vestas is also threatening to make 1,600 employees redundant in the USA, which will undermine President Barack Obama's goal of creating green jobs and adds to pressure on the US Congress to extend a tax credit that Vestas relies on. The company is also facing an increase in competition from Chinese manufacturers.

European Globalisation Fund: 2012 / 11