Brief: BayWa To Cut 1,300 Jobs By End Of 2027

Baywa AG

04/12/2024 10:17

Dec 4 (Reuters) - BAYWA AG  BYWGnx.DE :
    * PRESENTS A FAR-REACHING TRANSFORMATION CONCEPT
IMPLEMENTATION OF
EXTENSIVE MEASURES TO INCREASE EFFICIENCY AND PROFITABILITY BY
THE END OF 2027
    * JOB CUTS OF AROUND 1,300 FULL-TIME POSITIONS PLANNED BY
THE END
OF 2027
    * JOB CUTS WILL TAKE PLACE IN PARTICULAR IN THE CENTRAL
ADMINISTRATIVE UNITS
    * DISPOSAL OF SIGNIFICANT INVESTMENTS OUTSIDE GERMANY
PLANNED
    * RESTRUCTURING EXPERT COMMISSIONED BY BAYWA AG IN JULY 2024
CONFIRMED THE COMPANY'S ABILITY TO BE RESTRUCTURED BY SUBMITTING
THE SECOND DRAFT
    * EXPERT ASSUMES THAT THE COMPANY WILL ONCE AGAIN REPORT
SUSTAINABLE FINANCIAL FIGURES BY 2027 THANKS TO THE IMPROVEMENTS
IN EARNINGS AND SIMULTANEOUS DEBT REDUCTION
    * TALKS WITH THE GENERAL WORKS COUNCIL ON THE PLANNED
PERSONNEL
MEASURES HAVE BEGUN, AND AN AGREEMENT IS BEING SOUGHT BY THE END
OF MARCH 2025
    * MAJORITY OF THE JOB CUTS ARE NOT TO TAKE PLACE IN THE
AREA, BUT
IN PARTICULAR IN THE CENTRAL ADMINISTRATIVE UNITS
    * IN OPERATIONAL AND ORGANIZATIONAL AREAS, COSTS ARE TO BE
SAVED
ACROSS ALL BUSINESS AREAS AND LIQUIDITY COMMITMENT AND PROCESSES
ARE TO BE OPTIMIZED
    * THIS PRIMARILY INCLUDES STREAMLINING ADMINISTRATIVE
FUNCTIONS
AND TRANSFORMING THE IT AREA
    * ANALYSIS HAS SHOWN THAT A FURTHER 26 OF THE CURRENT 400
LOCATIONS CANNOT BE OPERATED ECONOMICALLY IN THE LONG TERM AND
WILL THEREFORE BE CLOSED BY THE END OF 2027

Further company coverage:  BYWGnx.DE 

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