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 Retail Trade, Except Of Motor Vehicles And Motorcycles Retail Sale Of Other Household Equipment In Specialised Stores 47.59 - Retail sale of furniture, lighting equipment and other household articles in specialised stores
2,018 jobs Number of planned job losses
Announcement Date
6 June 2023
Employment effect (start)
6 June 2023
Foreseen end date
31 July 2023
Description
Kika/Leiner, one of Austria's largest furniture department store chains, has announced restructuring measures shortly after a new takeover and the reopening of insolvency proceeding. The closing-operations will affect 1,900 of 3,900 employees at 23 locations (out of 40) across Austria. At the end of July, the sites Judenburg, Wels, Linz, Steyr, Amstetten, Vöcklabruck, Villach, Wien-Nord, Lienz, Mistelbach, Liezen, Ried, Feldbach, Leoben, Saalfelden, Horn, Unterwart, St. Johann, Wörgl, Stockerau, Imst, Eisenstadt and Wien-Ottakring will be closed and employees will be notified for termination. The company was sold by Tyrolean investor Rene Benko's Signa Retail Group to German specialty retailer Frank Albert's Supernova Group the week before the closures were announced.
The trade union and the Chamber of Labour advise the affected employees to not sign the current proposal, but to seek advice. The sale has also been strongly criticized by employee representatives as the company had received high government subsidies during the crisis.
Update 5/7/2023:
It has been announced that, contrary to initial announcements, also 118 restaurant employees in various branches will be also affected by the dismissals.
Update 28/8/2023:
It has been announced that so far Kika/Leiner notified 1,034 employees (June 23) to the AMS early warning system for termination and another 349 (July 28). In addition, 118 of the 264 employees of the non-insolvent gastro subsidiaries in the furniture stores were terminated.
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.
