Type
Closure
Country
Portugal
Region
Continente; Alentejo; Alto Alentejo
Location of affected unit(s)
Ponte de Sôr
Sector
Manufacturing
Manufacture For Transport Equipment
Manufacture Of Motor Vehicles, Trailers And Semi-Trailers
29.3 - Manufacture of parts and accessories for motor vehicles

520 jobs
Number of planned job losses
Job loss
Announcement Date
4 April 2008
Employment effect (start)
1 July 2008
Foreseen end date
31 March 2009

Description

Delphi, a multinational manufacturer of vehicle cables, announced the closure of its factory in Ponte de Sor (Portalegre) in the first quarter of 2009 with the loss of 520 jobs. The first wave of dismissals will affect 70 non-permanent workers and will take place during next summer. This decision is attributed to the fact that products manufactured in Ponte de Sôr are no longer strategic for the company. According to the trade union of the chemical, pharmaceutical, petroleum and gas workers, Sinquifa, the production of airbags in Ponte Sôr is going to be relocated to Hungary. Negotiations between trade unions and the company administration are currently underway. Sinquifa claims to be worried about the future of the affected workers, given that most of them are older workers (the average age is 47 years) without other professional experience and mainly residing in an area where there are no other job alternatives.

The Portuguese authorities had previously applied for aid from the European Globalisation Adjustment Fund (EGF).


Sources

  • 4 April 2008: Diário Económico

Citation

Eurofound (2008), Delphi, Closure in Portugal, factsheet number 66542, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/66542.