It has been clear for weeks that KTM will be cutting staff, but now it is happening faster than many people thought. On Monday, the motorcycle manufacturer announced 250 redundancies and a further 500 jobs could be sacrificed as part of the restructuring. The AMS responded quickly and sent additional employees to the Innviertel.
“We are preparing, are currently bundling the employees and asking to let us know which of the part-time employees can increase their hours and how much overtime can be worked. On the other hand, we look at which agendas we can now push back. “We have put aside things that are not so important,” Iris Schmidt, director of the Upper Austrian Public Employment Service, immediately announced in connection with the insolvency proceedings at three KTM companies.
A total of 750 jobs could be lost
It was clear that there would be a workforce reduction at the motorcycle manufacturer. The extent to which it will take place was and still is unclear, but the first cancellations have already been made. The company from Mattighofen dismissed 250 employees on Monday. Another 500 jobs are likely to be lost as a result of the insolvency proceedings. A total of 750 jobs are at risk of disappearing in the coming weeks. Where should the first 250 go? There were 200 layoffs at KTM AG and 50 at KTM Components GmbH.
The employment service responds quickly to the latest developments. On Friday, the AMS Braunau team will be reinforced by employees from Linz, who will register the unemployment of KTM employees directly on site.
Goal: “Remove some of the fears of those affected”
“It is also about finding answers to the many questions that are now open and allaying the fears of those affected,” says Schmidt. They will be on site all Friday, probably even directly on the KTM company premises. If necessary, the reinforced team will arrive again the following week.
At the same time, the business meetings of the Chamber of Labor’s insolvency experts continue. Today, Wednesday, four more events will take place: in Mattighofen, Schalchen and Munderfing.
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.
