Thyssenkrupp: Steel Division's Big Shift and thejob Slash - The Lowdown
Thyssenkrupp's Steel Division Outlines Social Package While Upholding Layoff Decisions - Thyssenkrupp Announces Social Plan in Steel Sector, Persists on Job Reduction Strategy
It's all about number 11,000, according to boss Dirk Schulte. He spills the beans in an interview with the WAZ. The rationale? Yep, you got it - underutilized plants running amok and ThyssenKrupp Steel being way too expensive compared to peers in the steel game. So, Schulte urges, "We gotta change this!" A whopping 5,000 jobs will bite the dust, with an additional 6,000 being farmed out.
And here's the kicker: The mainShiny focus of the social plan is all about landing people new gigs. Stay tuned for chats with IG Metall union, which'll kick off real soon.
Remember that tempestuous tussle back in early May between the union and the company about the steel division's revamp? Well, they've reach a deal, baby! That's Phase 1, setting the stage for more talks. The endgame: a collective contract that guarantees employment, location sustainability, and investments for green transformation[1][2]. No more job losses because of operational reasons, they promised[2].
Thyssenkrupp's steel division's been on thin ice for ages, and they're striving to offload the steel subsidiary[3]. The EP Group of entrepreneur Daniel Kretinsky has already pocketed a 20% stake in Thyssenkrupp Steel, with an additional 30% in the works[3].
- ThyssenKrupp
- Steel Division Revamp
- Social Plan
- Job Cuts
- IG Metall Union Talks
- Dirk Schulte
- Industrial Conglomerate Restructuring
- WAZ
Enrichment Data:
- Partial Separation and Joint Venture: Thyssenkrupp aims to break away its business segments, including the steel division, into autonomous entities. The goal? Gain entrepreneurial flexibility and strengthen investment plans for each segment[1][3]. The steel division, specifically Thyssenkrupp Steel Europe, is being transformed into a 50-50 joint venture with Czech energy company EP Corporate Group (EPCG)[3].
- Job Reductions Across the Board: Though specific job reduction numbers for the steel division are scant, Thyssenkrupp has faced tough times, leading to broader rounds of layoffs. Reports hint at administrative job cuts and worries about further pink slips[1][3].
- Negotiations with IG Metall Union: IG Metall and Thyssenkrupp have agreed on a strategic realignment. The union has stressed the need for "empathy" in handling staff. The union is demandin' a say in craftin' a future vision for the company to maintain job security and site possibilities[2]. A pact's been struck to rule out compulsory redundancies, but job protection specifics remain murky[2]. They aim to help craft a vision for the company that benefits both shareholders and employees[2].
In the revamp of ThyssenKrupp's steel division, Dirk Schulte, an industrial conglomerate's boss, reveals that financial constraints and underutilized plants demand change, leading to proposed job cuts totaling 11,000. The social plan, a focus of the restructuring, prioritizes vocational training and job placement for affected employees, as discussions with IG Metall union commence. The union's talks aim to create a collective contract ensuring employment, location sustainability, and investments for green transformation, preventing future job losses due to operational reasons.
