Type
Relocation
Country
Hungary
Region
Alfod es Eszak; Eszak-Alfold; Hajdu-Bihar
Location of affected unit(s)
Debrecen
Sector
Manufacturing
Manufacture Of Food And Beverage
Manufacture Of Food Products
10 - Manufacture of food products

395 jobs
Number of planned job losses
Job loss
Announcement Date
6 April 2011
Employment effect (start)
Foreseen end date
1 July 2011

Description

Debreceni Hús has announced the closure of its slaughterhouse and meat processing unit by 1 July 2011 and the dismissal of 395 employees and 100 subcontracted employees. The announcement was made after the employees' representatives were informed; the negotiations about the social plan (compensation, labour market reintegration measures etc.) have started.

The local authority has underlined the importance of these units, as the brand "Debreceni" should be produced in Debrecen and it will be very difficult for the redundant employees to find another job in the region. The Debreceni group has three other plants in Hungary. Production activities will be relocated from Debrecen to the other units.

Last summer Debreceni Group bought Kaiser Food and the acquisition was cleared by the Competition Office (GVH) in November. Debreceni Group's and Kaiser Food's combined share of the Hungarian market for sausage, salami and smoked and cooked meat does not exceed 20%, GVH said. The company was acquired by the Slovak investment company Penta in 2008.


Sources

  • 7 April 2011: Népszabadság
  • 9 April 2011: Hir24

Citation

Eurofound (2011), Debreceni Hús, Relocation in Hungary, factsheet number 71860, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/71860.