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.
The Swiss food cooperation Nestlé announced to close its production site in Linz, Upper Austria, by March 2018 making 127 employees redundant.
The site in Linz, which was established in 1879, is producing bulk packs of dry goods for soups and sauces used in hotels and catering. The company has been facing a decline in demand recently leading to losses at this site. According to newspapers, the production will be transferred to sites in Italy or Slovakia. Currently, negotiations are under way between management, trade unions and the public employment services (AMS) to develop a social plan for affected employees, including funds for re-training.
Trade unions are criticising that while shutting down production in Linz, Nestlé announced to increase dividends for shareholders significantly.
Eurofound (2017), Nestlé, Closure in Austria, factsheet number 90515, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/90515.