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.
Manufacturing Manufacture For Transport Equipment Manufacture Of Motor Vehicles, Trailers And Semi-Trailers 29.3 - Manufacture Of Parts And Accessories For Motor Vehicles
100 - 478 jobs Number of planned job losses
Announcement Date
29 November 2024
Employment effect (start)
1 January 2025
Foreseen end date
Description
KTM Components GmbH, based in Mattighofen, Austria, produces motorcycle components as part of the KTM Group, which also manufactures racing motorcycles and lightweight sports cars. The company filed for reorganisation under self-administration on 29 November 2024, alongside its parent company, KTM AG, and its affiliated R&D arm KTM F&F. This follows the initiation of a European restructuring procedure for its parent entity, Pierer Industries AG.
The company has liabilities of €80 million and employs 478 staff, with 50 job cuts planned in both the first and second months of restructuring. KTM Components' dependency on KTM AG jeopardises its survival if the parent company's restructuring fails.
A 30% creditor repayment plan over two years has been proposed, with critical dates for creditor meetings and voting scheduled between December 2024 and February 2025 at the Regional Court of Ried. The appointed administrator, Dr. Franz Mitterbauer, aims to stabilise operations, though additional layoffs in unprofitable areas remain possible.
The Austrian Credit Protection Association (KSV1870) and unions advocate for robust financing proof and employee protections, highlighting the group's challenges in high production costs and inventory surpluses despite strong sales in 2024.
Eurofound (2024), KTM Components, Bankruptcy in Austria, factsheet number 202076, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/202076.
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.
