After the insolvency

Wave of redundancies at KTM: 250 jobs gone

More than 3600 people are employed by the three companies that slipped into insolvency at KTM.

(Bild: Wenzel Markus)

Parallel to the opening of insolvency proceedings for three KTM companies, it had already become known that the job cuts at the motorcycle manufacturer would be significantly higher than previously thought. Now the wave of redundancies has begun: 250 employees have already been informed that they will have to leave.

In order to avoid cases of absolute hardship, consideration is to be given to entire families or couples working for the company. Nevertheless, things are moving fast at motorcycle manufacturer KTM when it comes to rationalization measures.

Surprised by developments
250 redundancies were announced on Monday. Three weeks before Christmas, this is a heavy blow for the employees, who still cannot believe the developments of the last few weeks at the company from Mattighofen (Upper Austria). The financial turmoil and the associated cutbacks came as a surprise to many.

And the 250 jobs that are being cut as a first step apparently only mark the beginning of a wave of redundancies. A further 500 jobs could be lost in the course of the planned restructuring. A total of 750 jobs are therefore in jeopardy.

Works meetings until Wednesday
At the same time, the works meetings of the insolvency experts from the Chamber of Labor are continuing so that the more than 3,600 employees who work at the three companies affected by the insolvency (KTM AG, KTM Components GmbH, KTM Forschungs & Entwicklungs GmbH) can assert their claims with the insolvency compensation fund. The company owed the November salary and the Christmas bonus, this week there is to be a 90 percent advance on the December salary.