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 Trade, Except Of Motor Vehicles And Motorcycles 46 - Wholesale Trade, Except Of Motor Vehicles And Motorcycles
36 - 170 jobs Number of planned job losses
Announcement Date
10 September 2024
Employment effect (start)
1 October 2024
Foreseen end date
Description
Otovo, a Norwegian solar energy installation company, announced the reduction of 166 jobs, nearly halving its workforce. The restructuring affects employees across 13 European markets, reducing the total employee count from 366 to approximately 200. Otovos employees are mostly engineers, programmers and technical consultants.The restucturing is part of a broader cost-cutting program aimed at reducing annual costs by NOK 200-225 million (EUR ~20 million).
The job cuts, representing a 46% reduction in staff, are part of a strategy to mitigate financial losses amid challenging market conditions in the solar sector. Most of the affected employees will be notified in September 2024, with the majority of reductions taking place in the following weeks. Severance payments are expected in the third quarter, and the full financial benefits of the restructuring are anticipated to take effect by the end of 2024.
CEO Andreas Thorsheim expressed regret over the downsizing, acknowledging the failure to align growth with organizational capabilities. The cuts are held to be a necessary measure to guide Otovo toward profitability while maintaining core operations.
Otovo offers solar panel installations on roofs and batteries in the home connecting homeowners with local installers through its automated marketplace.
Eurofound (2024), Otovo, Internal restructuring in Norway, factsheet number 201575, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/201575.
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