EMCC European Monitoring Centre on Change

Widex Eesti

Company/Organisation:
Widex Eesti

Geographic Location

Country: Estonia
Region: Põhja-Eesti; Eesti
Location of affected unit(s): Tallinn

Company

Sector: Manufacturing
Manufacture of computer, electronic and optical products
26.3 - Manufacture of communication equipment
Number Employed: 125

Employment Effects

Announcement Date: 02-08-2020
Planned Job Reductions min: 118
Planned Job Reductions max: 118
Type of Restructuring: Offshoring/Delocalisation
Employment Effect Start: 01-08-2020
Foreseen End Date: 30-09-2020
Direct Dismissals: 118

Additional Information

Widex Eesti OÜ, a producer of hearing aid electronics, announced offshoring programme, causing 118 redundancies in Estonia. The company has decided to relocate the manufacturing to the Philippines. The production in the Estonian factory, which opened in 2012, is terminated as of August 2020 and the 118 workers at the plant will be laid off by the end of September 2020. The reason for the relocation is the increase in effectiveness and flexibility of the supply chain and thus decrease in production costs. 

To mitigate the difficulties of the workers, the company has turned to the employment agency Finesta to help affected workers in finding new employment opportunities in Estonia. Additionally, the Estonian Unemployment Insurance Fund will help the employees by providing counselling, support, benefits and training, if needed. 

Widex Eesti OÜ is part of the Danish company Widex which specialises in hearing aid products; in 2019, Widex merged with Sivantos into WS Audiology.

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