Type
Closure
Country
Hungary
Region
Alfod es Eszak; Del-Alfold; Bacs-Kiskun
Location of affected unit(s)
Kecskemét
Sector
Manufacturing
Manufacture Of Computer, Electrical Electronic And Optical Products
Manufacture Of Electrical Equipment
27 - Manufacture of electrical equipment

513 jobs
Number of planned job losses
Job loss
Announcement Date
29 January 2009
Employment effect (start)
1 May 2009
Foreseen end date
31 July 2009

Description

Digital Disc Drives, a wholly owned subsidiary of Bosch, is to close with the loss of 513 jobs. Dismissals are expected to take place between May and mid July 2009. The company notified the dismissals to the regional labour authorities on 27 January. The company, based in Kecskemét, produces CD mechanism, CD charger and navigation systems for the automotive industry, and is a supplier of a number of car producers including, among others, Fiat, Opel and Maserati. The production facility, once employing 1,200 workers, was funded by Robert Bosch GmbH and Tanashin Denki Co. in 1997. Bosch bought out its Japanese partner obtaining 100 % ownership in 2008. The closure of the plant is attributed, besides the economic crisis affecting the automotive industries worldwide, to the facility's uncompetitive production compared to Asian suppliers.


Sources

  • 30 January 2009: Világgazdaság (vg.hu)
  • 29 January 2009: Bács-Kiskun Megyei Online (www.baon.hu)
  • 30 January 2009: Menedzser Fórum

Citation

Eurofound (2009), Digital Disc Drives, Closure in Hungary, factsheet number 68431, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/68431.