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.
Philips announced its intention to cut a further 354 jobs in the Turnhout plant, part of the company’s lighting division. These cuts come as an addition to the 136 redundancies that were announced 6 months earlier. According to the unions 354 jobs are currently affected by the company’s restructuring plan. Moreover, further jobs will be lost in Kontich (65), in Brussels (41) and in Wommelgem (20). In total, 480 jobs will be cut in Belgium.
The unions also criticized the bad strategic management of the company. Following the announcement via its Works Council, workers and representatives went on an unplanned half-day strike.
According to the management, the decision was necessary in order to go ahead with organizational changes to remain competitive. They stressed that the fast-paced market is putting pressure on them, as their Asian competitors provide cheaper LED products.
Philips has also dismissed 171 employees at the lighting division headquarters in Eindhoven, and plans to reduce its worldwide workforce by 2200 (see here).
Eurofound (2012), Philips, Internal restructuring in Belgium, factsheet number 74432, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/74432.