Thyssenkrupp faces potential job losses for around 20,000 employees due to proposed restructuring plans.
Restructuring at Thyssenkrupp Puts 20,000 Jobs at Risk, According to IG Metall
Thyssenkrupp CEO Miguel Lopez's ambitious restructuring plans could potentially impact the employment of one in five employees at the industrial conglomerate. This warning comes from IG Metall, Germany's metalworkers' union, who noted that over 20,000 jobs may be at risk as a result of these plans.
Speaking to Süddeutsche Zeitung, Jürgen Kerner, the union's second chairman and Thyssenkrupp's vice-chairman of the supervisory board, expressed concern that Lopez's focus on maximizing profits and appeasing shareholders appears to disregard the interests of the workforce.
Lopez aims to transform Thyssenkrupp from a conglomerate into a holding company, making all divisions independent and either selling them, listing them on the stock exchange, or seeking strategic partnerships in the near future. The union calls for greater transparency from the CEO in these endeavors.
Despite ongoing negotiations between IG Metall and Thyssenkrupp Steel, the union has expressed concerns that the restructuring could result in significant job losses. Thyssenkrupp Steel is currently realigning its operations, with plans to sell assets, invest in plant projects, and cut economic ties with certain entities.
The goal of Thyssenkrupp AG's restructuring is to position each segment for independent growth and value creation. The strategic target model is set to be presented to the supervisory board by the end of the fiscal year. The union is eager to reach a collective agreement that may mitigate job losses but accurately reflects the challenges and scope of the restructuring process.
To aid in the workforce's best interests, IG Metall urges Thyssenkrupp's CEO to prioritize transparency during the proposed restructuring, especially in terms of its impact on vocational training opportunities within the community. The union also advocates for careful consideration and potential policy changes that will ensure financial stability for businesses that may be affected by the industrial changes and any subsequent job losses.
