Type
Closure
Country
Austria
Region
Südösterreich; Kärnten; Klagenfurt-Villach
Location of affected unit(s)
Klagenfurt
Sector
Manufacturing
Manufacture Of Food And Beverage
Manufacture Of Food Products
10.32 - Manufacture of fruit and vegetable juice

110 jobs
Number of planned job losses
Job loss
Announcement Date
18 February 2013
Employment effect (start)
Foreseen end date
31 December 2013

Description

The longstanding Austrian manufacturer of fruit juices Pago is to close down its plant in Klagenfurt, thus making all 110 employees redundant by the end of 2013.

Pago is part of the German fruit juice group Eckes-Granini, which bought Pago in December 2012 from the Heineken-Brau Union group. Eckes-Granini now announced the closure of the Pago headquarters and production in Klagenfurt.

The group's CEO Hinderer stated that the step was necessary - production in Klagenfurt has not been profitable for years. However, the company is to remain headquartered in Austria: The headquarters of Pago will move to the Austrian Eckes-Granini headquarters in St Florian (Upper Austria).

The employees were informed of the unexpected step in a works council meeting on 18 February 2013. A social plan is to be developed for all 110 employees which stand to lose their jobs.


Sources

  • 18 February 2013: Kleine Zeitung
  • 18 February 2013: Der Standard
  • 18 February 2013: Die Presse
  • 18 February 2013: orf.at

Citation

Eurofound (2013), Pago, Closure in Austria, factsheet number 74970, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/74970.