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.
Renewable Energy Corporation (REC), a Norwegian solar power company with factories in the United States, Singapore and Norway, has announced to cut approximately 700 jobs.
On 28 September 2011, REC stated in a press release that it envisaged to discontinue production at the oldest multicrystalline wafer plants at Herøya (300 employees), the multicrystalline wafer plant in Glomfjord (200 employees) and the solar cell plant in Narvik (180 employees) due to continued weak market conditions and prospects of a significant negative cash flow. The final decision about the job cuts was made on 25 October 2011 leading to 680 redundancies.
It is said that the factories are forced to close down due to the fact that Chinese manufacturers have been pouring cheaper wafers into the market. Thus, the price dropped and REC has not been able to produce for stock.
Eurofound (2011), REC, Internal restructuring in Norway, factsheet number 72654, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/72654.