Uniper to Implement Significant Workforce Reduction
German gas supplier Uniper plans to reduce its workforce by approximately 400 full-time positions by 2026 as an immediate cost-saving measure, according to a letter to employees from CEO Michael Lewis, as reported by the Rheinische Post.
The company indicated that further structural adjustments are being considered as part of its Orion program, potentially leading to additional workforce reductions. Uniper currently employs 7,600 people, with 5,000 based in Germany.
Uniper cited a challenging market environment as the primary driver for the planned cuts. The company stated that lower-than-anticipated electricity prices, particularly in the Nordic market, have significantly impacted its profit outlook for the next three years, deviating from previous medium-term projections. Additionally, Uniper noted a long-term contraction of its asset portfolio, a trend observed since 2022 expected to continue through 2030. Regulatory delays are also contributing to the need for proactive measures.
The company intends to address the situation by halting the filling of open positions and implementing measures to encourage voluntary departures. Uniper plans to initiate discussions with employee representatives regarding a voluntary separation program, which could include early retirement options, severance payments and transitions to employment with a separate company. The “Social Security” collective bargaining agreement will form the basis for these discussions.