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.
Retail Wholesale Trade, Except Of Motor Vehicles And Motorcycles Wholesale Of Household Goods 46.42 - Wholesale of clothing and footwear
New offshoring locations
Turkey
360 jobs Number of planned job losses
Announcement Date
27 March 2023
Employment effect (start)
1 May 2023
Foreseen end date
30 September 2023
Description
Delta Textile Bulgaria, a socks manufacturer, is closing its production facility in Ruse, cutting 360 employees. The production will be continued in the company's factory in Turkey; only the company’s distribution centre will remain in Ruse, Bulgaria. The reason for the closure of the Bulgarian production facility is the economic turmoil in Europe that began last year and has led to a drop in sales. The company owners have decided to keep only one factory to work for the European markets, in Turkey.
The dismissed employees will be compensated as required by the law. According to the General Manager, the reason for such a step is the business situation in Bulgaria, which is less favourable, compared to Turkey due to a lack of workforce, expensive energy, and the raw materials needed for production are coming from Turkey.
Turkey has been preferred to Bulgaria for the following reasons: no workforce shortage; the main raw materials for production come from Turkey; the country is not in the EU and has maintained its trade ties with Russia, which provides advantages during the war.
Delta Textile Bulgaria (Delta Galil Industries) is a major socks producer for brands such as Nike, Columbia, Converse, Pierre Cardin, Demix, Fila, Primark, Marks & Spenser and Sweaty Betty.
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.
