Alstom to cut up to 1,300 jobs in Germany in restructuring drive

A logo of Alstom is seen at the Alstom’s plant in Semeac near Tarbes, France, February 15, 2019. REUTERS/Regis Duvignau/File Photo

MUNICH, Dec 10 (Reuters) – French train maker Alstom (ALSO.PA) plans to cut up to 1,300 of its roughly 10,000 jobs in Germany over the next three years as part of a restructuring after the purchase of Bombardier’s (BBDb.TO) rail unit, a spokesperson for the company said.

Production of trains in Germany, where Alstom has its biggest workforce, is to be shrunk and partly moved abroad, the spokesperson said on Friday, confirming comments by labour union IG Metall.

At the same time, the company will create 600 to 700 new jobs in signalling technology and the software business, the person said.

Alstom, which makes trains and signalling systems for urban and regional rail networks, said some plants in Germany were structurally underutilised and that it aimed to integrate production more closely into its European network.

It aims to carry out the redundancies in a socially responsible manner, via internal transfers, re-training, early retirement or severance packages, it said.

IG Metall, which opposes Alstom’s plans to cut jobs, said the plan would particularly affect sites in eastern Germany, with 350 to 450 of the job cuts to hit Hennigsdorf outside Berlin and 300 to 400 Goerlitz.

The new jobs would be primarily in Mannheim and Braunschweig in western Germany as well as in Berlin. Alstom’s site in Kassel will not be affected, it said.

Reporting by Alexander Hübner Writing by Maria Sheahan Editing by Miranda Murray and Mark Potter

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