Jungheinrich cuts 1,000 jobs: Hard times for Hamburg's jobs!

Jungheinrich cuts 1,000 jobs: Hard times for Hamburg's jobs!

There's a lot going on in the forklift world right now about costs and job cuts. Jungheinrich, the large manufacturer from Hamburg, recently announced comprehensive austerity measures that will affect around 1,000 jobs worldwide. The company currently has around 21,000 employees, with 1,200 people employed at the Hamburg plant alone. With this measure, Jungheinrich is reacting to weakening markets and increasing competition from cheaper products, especially from China. How Picture reported, operating profit for the current year is estimated at 280 to 350 million euros, which represents a significant decrease compared to previous forecasts of 430 to 500 million euros.

Jungheinrich is not only very popular with its forklifts, but now also has to face the challenges of the market. The federal government is planning to invest billions in infrastructure, which, according to experts, could lead to increasing demand for conveyor vehicles. But in the face of these challenges, the company sees the need to reduce costs: The savings program is intended to save 100 million euros annually and includes optimizations in production as well as in management and administration. In addition, a volunteer program is intended to cushion the loss of jobs while discussions are ongoing with employee representatives to find the best solutions.

Closing of plants and relocation of personnel

Another point that affects the workforce is the closure of the plant in Lüneburg, which is scheduled to be completed by 2027. 380 employees have already been informed here. The closure once again shows the difficult times the industry is going through. In northern Germany, more precisely at the Norderstedt plant, a three-digit number of jobs could also be cut, where around 1,500 people currently work.

The pressure on Jungheinrich is immense as demand for their products has changed. The company is struggling with economic weakness in both Germany and Europe. The aim of ensuring global competitiveness is the central goal of the austerity program. Data suggests that sales, orders and profit target were reduced. These uncertainties in the order situation are further driving the decision for austerity measures World also highlights.

Despite the sometimes dramatic decline, Jungheinrich shares are still worth more than at the beginning of the year. It remains to be seen whether these measures will actually bring the desired success and whether the Hamburg company will get back on its feet soon. In the meantime, we can only hope that the employees get through this turbulent time well and may be able to find perspective in new construction offices.