Advertisement

Siemens to slash thousands of jobs worldwide in power and gas unit: report

AFP
AFP - [email protected]
Siemens to slash thousands of jobs worldwide in power and gas unit: report
File photo: DPA.

German industrial conglomerate Siemens plans to slash thousands of jobs in its power and gas division hit by a drop in orders, a German magazine report said on Thursday.

Advertisement

The group intends to "close or sell" up to 11 of the unit's 23 sites around the world, according to Manager Magazin, citing sources at the company.

"That would entail cutting thousands of jobs, including in Germany," the monthly magazine wrote.

Some 30,000 workers are currently employed in the division, 12,000 of them in Germany, it added.

The restructuring comes as Siemens, whose products range from wind turbines to trains to medical equipment, grapples with falling demand for gas-fired power plants as countries switch to renewable energy.

In August, Siemens reported a 40-percent plunge in new orders at its power and gas unit in the third quarter of its fiscal year.

It also complained of "volatility" in orders for offshore wind turbines.

Siemens was not immediately available for comment when contacted by AFP.

But a spokesman told Manager Magazin that the group was continually considering its strategic direction and that this could include "consolidating certain activities".

Siemens plans to present the overhaul to employees in "early November", according to the magazine.

Jobs in eastern Germany are particularly at risk, it added, with management reportedly considering selling a generator plant in Erfurt and shutting down a turbine factory in Goerlitz.

The last shake-up of Siemens' troubled power and gas business in 2015 led to 1,100 job cuts in Germany, as part of a wider overhaul that saw the group slash 13,100 jobs worldwide.

More

Join the conversation in our comments section below. Share your own views and experience and if you have a question or suggestion for our journalists then email us at [email protected].
Please keep comments civil, constructive and on topic – and make sure to read our terms of use before getting involved.

Please log in to leave a comment.

See Also