Type
Offshoring/Delocalisation
Country
Germany
Region
Baden-W├╝rttemberg; Karlsruhe; Mannheim
Location of affected unit(s)
Weinheim
Sector
Manufacturing
Manufacture For Transport Equipment
Manufacture Of Motor Vehicles, Trailers And Semi-Trailers
29.3 - Manufacture of parts and accessories for motor vehicles
New offshoring locations
China

280 jobs
Number of planned job losses
Job loss
Announcement Date
15 October 2005
Employment effect (start)
1 November 2005
Foreseen end date
31 December 2006

Description

Freudenberg, a conglomerate producing for the textile and car industry, announced in October 2005 to cut about every fifth job of its 2,100-strong workforce. Following negotiations between management and works council the number of job cuts is now set at 280. Both parties agreed on a social plan including the transfer of workers to a so called training agency (Trainings- und Qualifizierungsgesellschaft). Cost-cutting-measures were motivated by margin-pressures from clients in the automotive sector and the shift of textile production to Asia. Production will be transferred to China and Eastern Europe.


Sources

  • 21 July 2006: Frankfurter Allgemeine Zeitung
  • 15 October 2005: Frankfurter Allgemeine Zeitung

Citation

Eurofound (2005), Freudenberg, Offshoring/Delocalisation in Germany, factsheet number 62445, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/62445.