Type
Closure
Country
European Union
Region
Location of affected unit(s)
Italy, Germany, Hungary
Sector
Manufacturing
Manufacture Of Food And Beverage
Manufacture Of Food Products
10.5 - Manufacture of dairy products

325 jobs
Number of planned job losses
Job loss
Announcement Date
11 June 2014
Employment effect (start)
Foreseen end date
30 June 2015

Description

Danone has announced a plan to close its sites at Casale Cremasco (Italy), Hagenow (Germany) and Budapest (Hungary) that will lead to the loss of 100 jobs in Italy, 70 in Germany and 155 in Hungary. The group explains that these three countries are particularly hard hit by the fall in sales in dairy products since 2010. "While European sales volumes now show signs of gradual improvement", adds the company management, "the group’s Fresh Dairy Products division in Europe has seen overall business fall back, with local cases of surplus capacity". The activities of these three plants will be shifted to Belgium, Poland, Germany and France. Danone intends to take social measures identifying job solutions for each of the employees who will be affected by the closures. This project will be fully implemented by mid-2015. The European Works Council of Danone and the International union UITA have denounced this decision. The EWC has decided to launch research into these closures. The group previously announced in February 2013 a plan to cut 900 positions across the company’s management and administration staff in 26 European countries by 2015 (See previous FS).


Sources

  • 11 June 2014: Les Echos
  • 11 June 2014: Danone (Press Release)

Citation

Eurofound (2014), Danone, Closure in European Union, factsheet number 77241, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/77241.