Completed Seal Application for Bosch in Sebnitz - Bosch Sets Closing Deal for Sebnitz Operations
The Bosch Power Tools company has made a final decision to close its site in Sebnitz, Saxony, by the end of 2026. This decision will impact approximately 280 employees and is part of a broader plan to shut down two German plants, with about 500–510 jobs affected in total.
The company's spokesman, Manuel Roj, stated that the decision was very difficult for all parties involved. However, the economically viable continuation of production could not be ruled out, and there was no alternative to its relocation and closure. The possibility of selling the site to a suitable buyer with alternative business is still being examined.
The city of Sebnitz and the region of East Saxony will be significantly impacted by the closure. IG Metall, the trade union representing the workers, has accused Bosch of shirking its social responsibility to the people in the region by relocating abroad. The union has announced protests and resistance to the closures, highlighting concerns over severance arrangements and the treatment of employees.
According to the company, the reasons for the closure include increased competitive and price pressure in the power tools division, ongoing cost-cutting and efficiency programs that have failed to deliver expected results, economic crisis impacts, including weak demand from construction and related sectors, and efforts to reorganize and optimize Bosch's global production network.
The production currently handled in Sebnitz will be relocated mainly to other Bosch plants, including those in Central and Eastern Europe, such as Hungary. Some support for transition management and helping affected businesses in the locality may come from specialist interim management providers, but no detailed reemployment or retraining programs have been specified yet.
External consultants, brokers, works council, and politics are involved in the search for a potential buyer for the Bosch site in Sebnitz. The binding decision of the conciliation committee includes the fact that production in Sebnitz will be discontinued by the end of June 2026.
Thomas Donato, CEO of Bosch Power Tools, emphasized that the decision to shut down production was difficult but necessary from a company-wide perspective to strengthen long-term competitiveness. Uwe Garbe, First Authorized Officer of IG Metall Ostsachsen, criticized the company for not giving the site a chance to turn things around and for forcing the works council into a conciliation procedure at an early stage.
[1] Bosch Power Tools to Close Site in Sebnitz, Affecting 280 Employees
[2] Bosch Power Tools to Shut Down Two German Plants
[3] IG Metall Criticizes Bosch for Forcing Works Council into Conciliation Procedure Prematurely
[1] To minimize the impact on the community, Bosch Power Tools is considering implementing vocational training programs for the 280 employees who will be affected by the closure of its Sebnitz site, as part of a broader commitment to the local industry.
[2] The company's decision to shut down two German plants, including the one in Sebnitz, is expected to have a significant influence on the finance and business sectors, especially in the manufacturing industry, as a total of 500–510 jobs are at stake.
[3] In response to the criticism from IG Metall, Bosch Power Tools may explore the possibility of engaging in partnerships with organizations offering vocational training to ensure the continuous growth and employability of its workforce, even within non-traditional sectors like manufacturing.
