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June 8, 2010

Wärtsilä swings ax in Netherlands

Wärtsilä is to start restructuring its Netherlands operations following what it describes as "a positive advice from the works council and approval of a social plan."

Propeller production in Drunen and component production in Zwolle will cease. In all, 570 of 1,500 Netherlands jobs will go. Restructuring of production operations will be finalized by the end of 2010.

Wärtsilä's future focus in the Netherlands will be on R&D and services. Wärtsilä will develop a Technology and Services Center in the Drunen area. Also the Dutch training centre of Wärtsilä will be part of this Centre. This unit will employ approximately 300 persons.

All this is in line with Wärtsilä's announcement in January that it plannedto reduce its industrial footprint in Europe with the target of reducing 1,400 jobs globally and transferring activities to China due to market developments. Part of the global plan was the closure of the propeller facilities in Drunen and engine component production DTS in Zwolle.

Restructuring measures in other locations have been carried out during the spring. Temporary lay-offs are currently underway in Finland and Norway. In France Wärtsilä recently announced a plan to close the Mulhouse workshop and reduce the workforce by 116 jobs. Other "readjustment programs" are continuing in a number of countries.


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