Thyssenkrupp remains dedicated to the green steel transformation, persevering through the economic predicament.
Restructuring Galore: 11,000 Jobs at Stake as Thyssenkrupp Overhauls!
Thyssenkrupp, Germany's industrial titan, is steering itself in a new direction. The conglomerate is embarking on a transformative journey, ditching its historical steel, shipbuilding, and trading businesses, and concentrating on "Green Technologies" and materials services.[3]
Here are some mind-blowing details about this corporate overhaul:
Thousands of jobs at risk: Thyssenkrupp announced plans to cut around 11,000 jobs in its Steel Europe division, that's more than a third of the steel workforce.[1][4] The workforce in the steel division is predicted to shrink from nearly 27,000 employees to roughly 16,000 by 2030. About 5,000 jobs will vanish through production and administrative adjustments, while 6,000 positions will be transferred to external service providers or affected by business sales.[2]
The steel sector isn't the only one feeling the brunt: Thyssenkrupp's Automotive division, notably at its Mühlacker site, is facing additional job reductions. Approximately 230 jobs (23% of the workforce) are planned to be slashed across four locations in Germany, with the Mühlacker facility bearing the brunt due to decreasing orders for Porsche Taycan parts.[5]
Breaking up is hard to do: Thyssenkrupp’s intention is to metamorphose into a leaner company with a core emphasis on decarbonization technologies and sustainable materials. To achieve this, the group is considering spinning off or selling various business units to pare down complexity and focus on growth areas for the future.[3]
Tough negotiations ahead: The IG Metall union’s discussions with Thyssenkrupp will address social plans such as early retirement options, severance packages, and transfer companies to facilitate the transition. The union has expressed fervent opposition and aims to secure long-term stability for the company amid these cuts.[2]
So buckle up, folks! This corporate shift is set to continue through 2030, amid union pushback and industry challenges.[1][2][3][5]
Sources:1. Thyssenkrupp's Steel Job Cuts2. Thyssenkrupp Job Cuts and Social Plan Discussions3. Thyssenkrupp's Breakup Plan4. Thyssenkrupp Job Cuts in Context5. Thyssenkrupp Job Cuts in Mühlacker
The restructuring at Thyssenkrupp extends beyond the steel sector, as they consider spinning off or selling various business units, including those in the finance and energy sectors, to focus on growth areas like green technologies and materials services. The impending changes have stirred fervent opposition from unions, as discussions regarding social plans such as early retirement options and severance packages ensue.
