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120 research jobs will also be lost

120 research jobs will also be lost

Job cuts at Upper Austria motorcycle manufacturer KTM in Mattighofen are larger than originally expected. In addition to the announced cuts of 300 production jobs, there will be a reduction of 120 jobs at KTM Forschungs- und Entwicklung GmbH, which has a total of 850 employees, according to a report in the “Oberösterreichische Nachrichten”, CFO of Pierer Mobility. Viktor Siegel confirmed in an interview with Asian News Agency.

Siegel told OÖN that up to two-thirds of job cuts should be achieved through natural departures. However, there have been layoffs since the beginning of the year: 15 announced in January, 4 in February, and 15 to 20 in March. It is expected that a large part of the “company procedures” will be completed after that.

Double-digit growth curves 'simply not on the horizon at the moment'

The reduction in research volume is justified by the announced transfer of production of new models to India and China. “China in particular is ahead of us in electric mobility and connectivity. “We don't need to reinvent anything in Mattighofen. “The number of independent motorcycle testers will also decrease, even significantly, from 150 to 90. But the board also does not deny a certain cost-cutting idea: the double-digit growth curves of the past few years are not there at the moment,” Siegel told APA. On the horizon, and we must prepare for it.

Regarding the originally announced cuts of about 300 jobs in the manufacturing sector, about two-thirds of them are also expected to occur through natural departures and one-third through layoffs. However, he only wants this to be understood as a vague estimate based on the fact that there are usually between 200 and 300 natural departures per year. We expect that to happen this year as well. But the number could decline somewhat because “people are no longer desperately looking for workers,” Siegel says.

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