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Swissmetal introduces a raft of measures to further improve performance at its Swiss plants in Dornach and Reconvilier – Intensive phase of industrial restructuring begins

Advanced implementation phase of industrial restructuring allows first efficiency gains

The restructuring of its industrial activities, set in motion by Swissmetal in 2005, is proceeding according to plan, along with a series of associated investment projects. The new extrusion press at the Dornach site has just recently hot pressed its first bolt and will gradually assume full operation over the next nine months, thus launching a new phase of the industrial concept presented in autumn 2005. This phase will dominate the coming 18 months and increasingly allow efficiency gains to be realized from the investment programme.

 

Performance at Swiss sites to be lifted to level of German plantChange of management on the industrial sideConsultations with social partners in progress, social plan and company-run social fund

Swissmetal plans to cut 153 of a total of 606 full-time equivalents (FTEs) in Switzerland as part of this important phase of industrial restructuring. Things will get underway with an initial headcount reduction of 21 FTEs in summer 2007, which will mainly affect middle management positions in technology, maintenance and logistics. It is also intended to offer 44 employees a different position within the company.

To avoid cases of hardship arising from these unavoidable redundancies, Swissmetal has set up a social hardship fund, which will be financed by the Swissmetal's welfare foundations. Hewitt Associates SA has been mandated to manage the fund and to make payments to the concerned members of staff, quickly and with a minimum of red tape, in accordance with uniform and objective criteria.

Furthermore, since November 2006, Swissmetal has been involved in negotiations with the employee representative bodies and trade unions regarding a redundancy scheme for the measures necessary under the industrial restructuring. Until such time as these negotiations are concluded, the social fund will make the necessary means available to Swissmetal employees in need.


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