Restructuring events
European Restructuring Monitor (ERM)
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.
The automotive supplier ZKW started downsizing the factory in Wieselburg, Lower Austria on Thursday, 23rd February. The restructuring will take place until the end of 2024. In this period 600 out of 2600 jobs will be cut. The job cuts include employer terminations as well as natural departures due to the expiry of contracts and retirements, employee terminations without replacements and alternative working time models such as partial retirement. The number of direct dismissals is unclear.
Additionally, ZKW will expand its capacities in China, Mexico and Slovakia, to supply customers with lower-cost products.
The works council has been informed and social plan negotiations are currently taking place. It was also announced that ZKW would expand capacity in China, Mexico and Slovakia, in terms of a concept for sustainable growth. Politicians from the Austrian People's Party (ÖVP) and the Austrian Freedom Party (FPÖ) comment on the job cuts as disadvantageous for the business location.
In 2022, the Group employed around 10,000 people in twelve sites worldwide and generated total sales of 1.36 billion euros.
Eurofound (2023), ZKW , Internal restructuring in Austria, factsheet number 108583, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/108583.