After years of steady growth, KTM is putting on the brakes! After more than 300 employees had to leave as part of an initial cost-cutting package, Pierer Mobility announced on Friday that it would cut another 200 jobs. This time, mainly in the administrative field.
Turnover is 1.007 billion euros lower than in the first half of 2023, the operating result is in the red, and the result for the period is also deep in the red at minus 172 million euros – all of this is insured with Pierer Mobility, which includes the brands KTM, GasGas, Husqvarna and MV Agusta, again for significant savings.
First savings package in December 2023
The motorcycle manufacturer from Mattighofen (Upper Austria) announced on Friday evening that another 200 employees will have to leave. As part of an initial savings package that was put together in December 2023, more than 300 employees had to leave. The current cutbacks at KTM mainly affect the administrative area of the Innviertler population.
What worries Pierer Mobility? These are mainly sales declines, especially in the United States, and costs resulting from the restructuring of the bicycle division. In addition, there are production and personnel costs in Europe. That is why the company has already moved parts of the development and production to Asia.
Development should go faster
In addition to the savings program, Pierer Mobility is also committed to increasing efficiency in product development. Development processes should also be significantly accelerated.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
