Cuts at Linde
8 Jan 2003
German engineering group Linde is to cut some 550 jobs at its industrial gases division as it moves production to the Czech Republic.
In a major cost-cutting exercise, the company plans to reduce overall headcount by some 1500 people over the next year, saving some E275million.
The move parallels a decline in Linde's profits. Pre-interest and tax operating earnings slipped by 16 per cent in the first nine months of 2002, to E434million, on sales down 2.3 per cent to E6.3billion.
The cuts will also see 1000 jobs go from both the materials handling and refrigeration divisions, with 200-300 jobs transferring to the Czech Republic.
According to chairman Gerhard Full, 'Our international customers are not prepared to pay us for the expensive social benefits, the bureaucracy and the high level of planning required in Germany.'
