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.
Professional Services Professional Legal And Technical Acconuting Activities Legal And Accounting Activities 69.2 - Accounting, bookkeeping and auditing activities; tax consultancy
New offshoring locations
Poland, Philippines
100 - 135 jobs Number of planned job losses
Announcement Date
4 August 2017
Employment effect (start)
4 August 2017
Foreseen end date
4 August 2021
Description
On 4 August 2017, the German chemical and pharmaceutical company Merck announced it will cut 100 to 135 jobs from its administration affiliate in Darmstadt. The company wants to relocate parts of its accounting services from the Merck Shared Services Europe (MSSE) to Breslau (Poland) and Manila (Philippines) within the next 4 years.
Approximately 25 jobs will remain at the headquarters in Darmstadt. The remaining employees will mainly be tasked with strategic responsibilities.
Delocalisation is part of a solution to respond to the decline in operating profits and to standardise processes around the world.
The Mining, Chemicals and Energy Industrial Union IG BCE, which in 2012 successfully averted the closure of the MSSE in Darmstadt, announced it will oppose the plans. As recent as July 2017, the company also announced it would close four of its Life Science divisions in Germany. The Merck Group employs around 50,000 staff worldwide.
Sources
7 August 2017: Märkische Allgemeine Zeitung (Online)
4 August 2017: FAZ Online
7 August 2017: Merck (press release)
Citation
Eurofound (2017), Merck Accounting Solutions & Services Europe, Offshoring/Delocalisation in Germany, factsheet number 91716, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/91716.
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