Important step in the Georg Fischer structural programme
With global demand for machine tools continuing to slump by over 50 percent, there is no let-up in the impact on the business of GF AgieCharmilles. Nor is any improvement in sight in the near term. It has become clear that the measures taken to date are not sufficient to bring capacity into line with the expected business volume. GF AgieCharmilles therefore intends to adjust capacity in Switzerland as part of the ongoing restructuring and cost-cutting programme at Georg Fischer. This will affect production and development in particular at the Meyrin, Losone, Nidau and Luterbach sites. All four locations, however, will in future remain important pillars of GF AgieCharmilles.
The key measures planned are as follows:
The production of electric discharge machines (EDM) in Switzerland, until now located in Meyrin (Geneva) and Losone (Ticino), will be merged in Losone. EDM development will be adjusted to the streamlined product range.
The Geneva site will continue to be in charge of major part of research and development as well as host the Centre for New Technologies, the international marketing with the Application Center, the Customer Services with the worldwide spare parts business, and the headquarters of GF AgieCharmilles with all global management and support functions.
The Losone site will host the merged EDM production, parts of research and development along with the sales organisation for Switzerland and several other countries.
These measures to increase efficiency in the EDM sector would result in the loss of 242 jobs in total, of which 168 would be in Meyrin and 74 in Losone.
In addition, about 27 jobs will be lost at Luterbach, where high-performance spindles are manufactured, and another 12 jobs at Nidau (milling machines).
The consultation phase with employee representatives has begun at the individual sites. A social plan is in place for the affected employees.
The planned measures would therefore result in the reduction of about 281 jobs in total. GF AgieCharmilles would then employ around 1,000 people in Switzerland.
As things stand now, these measures mark the completion of the drive to focus the Swiss locations of GF AgieCharmilles. The purpose is to ensure that production and Research & Development at GF AgieCharmilles remain competitive in Switzerland.
"We firmly believe in the strengths of Switzerland as a place for research and manufacturing," stated Yves Serra, CEO of Georg Fischer. "We regret very much the impact of the announced measures on the affected employees. We have made every effort, in a difficult situation, to find a balanced, objective and economically viable solution for all the sites."
You can find further information on the Georg Fischer structural programme in the Media Release of 28 May 2009.
Besides English we are posting this media release in French and Italian as well:
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