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.
Ontex a Belgian multinational producer of diapers has announced it will be dismissing a large part of its workforce in Belgium, mainly in its facilities in Eeklo and Buggenhout. In total around 489 employees are at risk of losing their job. Eeklo plant will be closed while Buggenhout will reduce its workforce. The main reasoning behind the restructuring are high costs and heavy competition within the sector. This is in particular the case as the company is mainly focused at producing store brand diapers, a market that has been increasingly populated with other players. Trade union delegates state that the negotiations and information rounds are conducted properly, so currently no actions are planned.
Update 27/09/2024: In September 2024, plans were announced to ultimately make 350 workers redundant, a lower number than the 489 initially projected. The plan submitted was rejected by 55% of the workforce at the site, but it requires a two thirds majority to strike down the redundancy plan. Workers have been on strike for over a week, it is still unclear when production will resume.
Eurofound (2024), Ontex, Closure in Belgium, factsheet number 201320, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/201320.