With economic downturn, Siemens Gamesa might cut 2,500 jobs

Robert Besser
05 Aug 2022, 04:35 GMT+10

Wind turbine-maker Siemens Gamesa is considering cutting some 2,500 jobs, or about 9 percent of its total workforce
The move, which is aimed at recovering from losses, led its main shareholder to launch a takeover bid
Based on figures from the company's website, the cuts would reduce a workforce of some 27,000 people, but it is not immediately clear which divisions or regions would be affected

HAMBURG, Germany: Wind turbine-maker Siemens Gamesa is considering cutting some 2,500 jobs, or about 9 percent of its total workforce.

The move, which is aimed at recovering from losses, led its main shareholder to launch a takeover bid.

Based on figures from the company's website, the cuts would reduce a workforce of some 27,000 people, but it is not immediately clear which divisions or regions would be affected, and no final decision has been made, the sources said.

CEO Jochen Eickholt, who joined Siemens Gamesa from parent Siemens Energy in March following three profitable warnings, aims to overhaul the turbine maker's fortunes, and the move could be seen as part of his efforts.

When asked in June whether layoffs and plant closures were planned, Eickholt said he could not rule out anything.

Governments have aimed to wean themselves off fossil fuels, relying on masts and blades for the wind turbines produced by the company, but Russia's invasion of Ukraine and disruptions caused by COVID-19 have negatively affected production.

Partly due to delays in developing and delivering a new range of onshore turbines, Siemens Gamesa has struggled, in particular, prompting majority shareholder Siemens Energy to launch a $4.2 billion bid to purchase the one-third stake it does not already own.

This year, the company's market value fell by 14.6 percent, compared with a 7.7 percent drop for market leader Vestas.

Watch latest videos

News RELEASES

Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Northern Ireland News.

More Information

17 ℃

Fair in Belfast/City

United Kingdom

Section

UK's Horniman Museum to return 72 artifacts to Nigeria

LONDON, England: Following a request by Nigeria's National Commission for Museums and Monuments, the Horniman Museum in London has agreed ...

Ireland's narcotics trader, Michael McDonagh, beaten to death after football match

SUSSEX, UK - After a Premier League game, a fight broke out, leading to the murder of an Irish drug ...

Canada sends 225 soldiers to help train Ukrainian forces

OTTAWA, Ontario: Military trainers from Canada will head to the United Kingdom to teach Ukrainians new techniques for fighting the ...

As Heathrow reduces passengers, British Airways stops selling tickets

LONDON, England: British Airways has halted ticket sales for short-haul flights that depart before the middle of August from London's ...

US baseball teams to play for UK crowd in London in 2023

LONDON, England: In 2023, America's Major League Baseball is set to return to London for the first time since 2019, ...

A Race Against Time: The Last Days Of Lysychansk

As Russian forces advanced in Ukraine's eastern Donbas region, volunteers raced against time under deadly fire to convince the last ...

International

Section