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Thyssenkrupp Steel is seeking a social plan to facilitate job reductions.

Thyssenkrupp Steel Intends to Implement a Social Agreement for Redundancies

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Thyssenkrupp expedites negotiations on employee redundancy plans, as per recent media disclosures....
Thyssenkrupp expedites negotiations on employee redundancy plans, as per recent media disclosures. [No photo provided]

Thyssenkrupp Steel's Job Cuts and Union Resistance

Steel Manufacturer Thyssenkrupp Plans job reductions, offering a social plan for affected employees - Thyssenkrupp Steel is seeking a social plan to facilitate job reductions.

Here's the lowdown on Thyssenkrupp Steel's job cuts, restructuring plans, and the pushback from IG Metall union:

Thyssenkrupp Steel's Job Reductions and Restructuring

  • Job Cuts: In a sweep, Thyssenkrupp Steel Europe plans to axe around 11,000 jobs as part of their restructuring. This includes shedding around 5,000 jobs from production and admin roles, and outsourcing or dumping off 6,000 more jobs in external service providers or sold-off businesses[1][3].
  • Completion Timeline: This restructuring is slated to wrap up by the end of 2030, leaving behind a workforce of roughly 16,000, a near 40% decrease from the current roster of almost 27,000[1].
  • Support Package: Thyssenkrupp has been prepping a generous aid package for their affected employees. This includes offering early retirement options, severance packages, and setting up transfer companies to smoothen the transition. Discussions with the IG Metall union are due to kick off soon[1].

The IG Metall Union's Concerns

  • Union Fundament: The IG Metall union has flat-out opposed the planned job cuts, vowing fierce resistance. They're calling for assurances of Thyssenkrupp's long-term financial health before engaging in negotiations[1][3].
  • Wider Industrial Impact: The union and other labor bodies worry that the job cuts might trigger broader industrial restructuring, potentially impacting more than 20,000 jobs across Thyssenkrupp's divisions[4].
  • Overall Restructuring: The larger restructuring strategy Thyssenkrupp has in mind involves spinning off divisions into standalone businesses, which could bring further job risks and changes in the company's structure[2][4].
  1. The IG Metall union has expressed concerns about Thyssenkrupp Steel's restructuring, fearing that the employment policy could extend beyond the steel division and affect industries relying on finance and business.
  2. As part of Thyssenkrupp Steel's restructuring, employment policy changes could impact EC countries, potentially leading to job losses and shift in business dynamics within these regions.

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