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.
The Czech automaker Škoda Auto plans to reduce its workforce by 3% (over 1,000 people) in the Czech Republic in 2024.
The background of the layoffs, according to the company, is the rapid increase in costs, not only of energy and materials, but also labour costs. The Škoda Auto trade unions have negotiated a significant increase in wages and above-standard bonuses in the amount of around CZK 170,000 (€ 6,750) this year as well. These rising costs are starting to have an effect on the company.
Škoda Auto operates 3 production plants (Mladá Boleslav, Kvasiny, Vrchlabí) and employs a total of 36,000 people in the Czech Republic.
Eurofound (2024), Škoda Auto, Internal restructuring in Czechia, factsheet number 200777, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/200777.