Three days after the bankruptcy was declared, the first 250 layoffs at KTM were announced – a circumstance that further fuels uncertainty among the workforce. And now the advance on the December salary announced for this week is still taking a long time, as employees notice when they look at their account balances.
An advance of 90 percent on the December salary will be paid this week, KTM reassured employees immediately after the bankruptcy of three companies became known. Looking at the account balances, it becomes clear to the more than 3,600 employees affected by the restructuring process: the promise has not yet been fulfilled – no advances have been paid yet.
Patience required
When will that happen? It is said that no date can yet be promised when the transfer will take place. Means: Employees must exercise patience.
A few weeks before Christmas, this is again bad news, in addition to the uncertainty associated with bankruptcy. In any case, we have to wait even longer for the outstanding November salary and the Christmas bonus. A transfer from the insolvency compensation fund is expected at the end of January.
The first layoffs at KTM were announced on Monday. In the first step, 250 employees will be laid off, 200 at KTM AG and 50 at KTM Components GmbH.
The Round Table will take place on Thursday
A roundtable conference initiated by the State of Upper Austria will take place on Thursday, December 5, with State Councilor for Economics Markus Achleitner, the AMS, the Upper Austrian Chamber of Commerce and the Upper Austrian Chamber of Labor. In addition to bankruptcy foundations, bridging financing for suppliers is also an option.
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.
