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Electronics Production | April 22, 2008

Schaffner moves some production to Hungary

The Schaffner Group is relocating its European production activities for EMC components and standard power quality products to Hungary.
The focus of activities at the Luterbach, Switzerland headquarters of the Schaffner Group will be on strategic management, the global innovation center, and other tasks within Schaffner's global sales organization. Schaffner Jacke in BĂĽren, Germany, will continue to manufacture customer-specific power quality solutions.

European volume production is being concentrated in the modern Schaffner plant in Kecskemét, Hungary, as part of a general reorganization of the Schaffner Group, a move that will support the objectives of the ongoing operational excellence program to boost profitability. The new plant, which goes into operation in mid-May 2008, will substantially expand Schaffner's Kecskemét production capacities and help to significantly optimize processes while increasing production efficiency.

As a consequence of the reorganization, the headcount in Luterbach will be reduced from 148 to 115 employees by November 30, 2008. This will partly be achieved by not extending temporary employment contracts as well as by natural attrition. Management expects that at most 20 employment contracts will have to be terminated in conjunction with the relocation. Those affected will receive benefits from a well-funded social plan as well as individual advisory services and other support.

Around 30 jobs from BĂĽren, Germany, will be relocated to Hungary. The reduction will be achieved by terminating personnel leasing agreements and temporary employment agreements which are due to expire soon. The extraordinary costs of CHF 0.5 million associated with these staff cuts will be incurred during the second six months of the 2007/2008 fiscal year.
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November 15 2018 5:25 pm V11.9.0-1