Management at Stadler’s Berlin-Pankow plant, which is part of the Swiss rail vehicle manufacturer, addressed the company’s employees on Monday in a works council meeting. The situation for the German subsidiary appears serious. In 2000, the Swiss company acquired the plant in Pankow from Adtranz and expanded it. Now, the company apparently needs to take drastic measures to save the location.
Perspective of the employees
In an interview with the Berliner Zeitung, Jan Otto, the first representative of the IG Metall union in Berlin, explained the situation from the union’s point of view.
The company is considering cutting jobs and closing parts of the production in Berlin as a solution to the crisis. However, the union representative declined to comment on this. At the works council meeting on Monday, the company’s CEO and the head of the Pankow plant, Jörg Nuttelmann, presented a restructuring and efficiency program and asked the employees for their support. The company did not disclose the extent of the necessary cuts.
As a contribution to crisis management, the company suggested that employees take a pay cut or reduce their working hours. Additionally, changes to working and break regulations, as well as potential reductions in overtime pay, are being discussed – to the dismay of the union. The company aims to avoid job cuts as much as possible, according to Otto.
Situation from Stadler’s perspective
The company’s CEO, Jure Mikolčić, explained the situation: “We are still suffering from the severe consequences of the supply chain disruptions caused by the pandemic, Russia’s invasion of Ukraine and the resulting price increases for energy and raw materials. The resulting inflation has led to higher salaries. To make Stadler a sustainable and competitive industrial location in Germany, we must now take drastic measures and implement them quickly.”
The IG Metall union representative, Otto, stated that a well-attended rally was held at Stadler, with around 1,200 employees in attendance. The union is mobilized. By the end of this week, the union wants to have the points of job cuts and partial plant closures off the table, focusing on securing the location and employment.
Possible agreement?
Despite this, the union representative praised the Stadler CEO, saying, “I appreciate Jure Mikolčić because he plays with open cards, unlike some other actors in the industry. He and the other Stadler CEOs were very clear during the works council meeting, making it clear to the employees that if they don’t move, some of them may lose their jobs.”
The union representative can partially follow the company’s argument, stating, “Supply chain problems that arose during the COVID-19 pandemic and after Russia’s invasion of Ukraine are affecting the entire German economy.”
It is not uncommon for certain components to be unavailable for months, sometimes only small parts like screws. “It’s absurd” Otto said.