The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Alfod es Eszak; Eszak-Alfold; Szabolcs-Szatmar-Bereg
Location of affected unit(s)
Nyíregyháza
Sector
Manufacturing Manufacturing Of Machinery And Equipment Manufacture Of Machinery And Equipment N.E.C. 28.12 - Manufacture of fluid power equipment
127 jobs Number of planned job losses
Announcement Date
23 April 2020
Employment effect (start)
27 April 2020
Foreseen end date
31 December 2020
Description
ContiTech Magyarország, a Hungarian subsidiary of ContiTech - a division of German automotive parts manufacturer Continental, will make 127 workers redundant at its Nyíregyháza plant by the end of 2020. Some 109 of the affected workers have employee status, while the rest have another type of work contract.
According to the company, the layoff is unrelated to the coronavirus crisis, it is motivated by declining demand for cooling and heating systems, a trend that is expected to be reinforced by the growing market share of electric vehicles. Hence, this product line is no longer able to operate with profit, despite high-quality work performance. The production of cooling and heating systems will be phased out completely by September 2020. Some production will be transferred to other Continental sites in Eastern Europe, but mostly to another Hungarian plant in Makó.
The more important product lines of the Nyíregyháza plant – air springs and rubber compounds – remain stable and profitable.
The management will consult with every affected worker and give each support in their job search. In addition to the redundancy payments, the payment of extra bonuses is also possible for some laid-off workers. Furthermore, the firm will try to find employment opportunities at other Continental plants – in or outside Hungary – for interested workers.
Digitisation and automation technologies, including artificial intelligence (AI), can affect working conditions in a variety of ways and their use in the workplace raises a host of new ethical concerns.
The retail banking sector is fertile ground for studying the impacts of digitalisation on work and employment. Financial services are increasingly provided online, without the intermediary of customer-facing institutions.
European labour markets have recovered strongly from COVID-19. By the end of 2021, little more than 18 months after the start of the pandemic, employment rates in the EU were almost at pre-crisis levels.
