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.
Arkomat Bulgaria, a Turkish owned wire harness manufacturer, dismissed 800 workers at the beginning of October 2019, keeping only 50 members of the staff, in its plant in Kazanlak, Bulgaria. According to the company's owner, the job cuts were necessary due to orders decline, a reorientation of production and preparation of a new project.
The trade unions claim that the company did not inform about the dismissals in advance and that the tripartite council in the municipality has not been consulted.
The company, which established its first Bulgarian plant in Karlovo, in 1999, is a subsidiary of the Turkish owned Arkomat. By the end of 2018 the company employes 1,500 workers in Kazanlak and 450 in Karlovo. In the past few years, Arkomat has won several 'employer of the year' prizes by the Bulgarian Ministry of economy.
Update 13/10/2019: The company's management announced the securing of a new contract and the rehiring of 270 workers in November 2019. The company goal is to reach a total number of 450 workers in the Kazanlak plant by the end of 2020.
Eurofound (2019), Arkomat Bulgaria, Internal restructuring in Bulgaria, factsheet number 99106, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/99106.