EMCC European Monitoring Centre on Change

ZKL

Company/Organisation:
ZKL

Geographic Location

Country: Czechia
Region: Olomoucky; Stredni Morava
Location of affected unit(s): Hanušovice

Company

Sector: Manufacturing
Manufacture of transport equipment
29.3 - Manufacture of parts and accessories for motor vehicles
Number Employed: 520
Group: ZKL Group

Employment Effects

Announcement Date: 17-03-2016
Planned Job Reductions min: 400
Planned Job Reductions max: 400
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-04-2016
Direct Dismissals: 400

Additional Information

Czech car-parts producer ZKL is to dismiss 400 out of the 520 workers at its Hanušovice plant due to the loss of the key customer – Volkswagen Group. Volkswagen has apparently cancelled existing contracts due to poor quality products. For this reason, the employer does not have enough money to pay wages from the past month. The company is facing insolvency.

Besides the Hanušovice site, the firm operates two plants (Brno, Klášterec nad Ohří).

ZKL is the biggest manufacturer of large-scale spherical-roller, special and split bearings in Central Europe