Symbolic image © imago/Rupert Oberhäuser
Once again, a large company is groaning under economic pressure and is closing locations in Baden-Württemberg as a result. This reduction is a bitter blow, especially for the many workers.
Many companies and large corporations in Germany and Europe are still struggling under inflation, expensive raw materials and, of course, increasingly expensive energy. It is therefore not surprising that a prestigious large company is closing locations in Baden-Württemberg and thus also reducing its workforce.
Strategic restructuring to save the company
The Swiss technology group Komax is forced to make drastic cuts due to falling order numbers and economic uncertainty. Something that many companies across all industries are currently struggling with. The company’s German locations are particularly affected, with two plants set to be closed by the end of the year.
Unfortunately, one of the regions most affected is Baden-Württemberg, where the plant in Jettingen is ceasing production. These closures are part of a comprehensive restructuring plan aimed at keeping Komax competitive in the long term and overcoming economic challenges. Time will tell whether this plan will work. In any case, it is clear that it is an almost desperate measure.
Global efficiency improvement and future prospects
In addition to the measures in Germany, Komax is also relocating its production capacities in Switzerland. The sites in Rotkreuz and Cham are to be relocated to the headquarters in Dierikon by 2025. The aim is to reduce costs and optimize logistics. The company began reducing its workforce in the first half of 2024 in order to meet the challenges in the market. However, despite the current challenges, Komax expects the market situation to recover in the second half of the year. This should enable the Group to emerge stronger from the current weak phase and to respond better to future fluctuations.
Komax’s decisions are symptomatic of the difficulties currently facing many companies in the automotive industry. Economic uncertainty is forcing more and more suppliers to make drastic cuts in order to survive in the long term. While the automotive industry continues to struggle with the transformation to electromobility and the effects of global crises, this example shows once again that flexibility and adaptability are crucial for survival in this volatile market.
