Swissmetal – UMS Swiss Metalworks Ltd is successfully pressing ahead with the industrial concepts for its Swiss sites, as announced back in November 2005. The centralising of its hot forming operations to Dornach, the commissioning of the new extrusion presses and the closure of the old presses have tapped into considerable efficiency potentials. In June, Swissmetal announced that it intended to cut a total of 153 of the 606 permanent positions (from the 31.5.2007) in its Swiss plants over the coming year.

The first phase, which was successfully completed in July (see our media release from the 29 June 2007) saw the effective shedding of 7 permanent positions. An additional 38 employees were offered an alternative role within Swissmetal, within the scope of a dismissal with a pending change of contract.

Today, on the 26 September 2007, the social partners were personally informed of the second phase of the restructuring process and the consultation process was initiated in accordance with the collective labour agreement. In line with the request made by the social partners, the consultant period, which would usually run for 12 days, was extended to a period of one month. Before the year’s end, Swissmetal intends to have shed the remaining 146 permanent positions, the majority of which will be in the direct production division. Consultation will be completed on the 26 October. A social plan, which was drawn up together with the social partners on the 10 July 2007, earmarks extensive financial provisions for those employees affected by the job cuts, and includes packages for relocation, redundancy and pensions in the case of early retirements.