Swiss textile machinery firm OC Oerlikon to cut 2,500 jobs
25 Aug 2009
Leading Swiss textile machinery manufacturing firm OC Oerlikon plans to cut 2,500 jobs in the coming months following the significant first half loss it has suffered this year.
The disappointing performance has led to the ouster of the company's chief executive officer Uwe Kruger, who has headed the company since 2007.
Kruger is to be replaced by Hans Ziegler with immediate according to a company statement released today.
The company's sales plummeted 40 per cent and order intake by 39 per cent in the first half of 2009 as compared to H1 2008 in the wake of an unprecedented economic downturn.
The company said that on account of market trends, the board and management has approved implementation of further restructuring measures in the second half of the year and beyond. This would involve a workforce reduction in the second half by approximately 2,500, the firm said.
The company has posted a net loss of 99 million Swiss francs in the first half of 2009. The same was at 313 million Swiss francs during the same period last year.
The company's sales declined 40 per cent to 1,428 million Swiss francs during the period as against 2,382 million Swiss francs in 2008.