Jungheinrich closes plant in Lüneburg: 400 jobs at risk!

Jungheinrich closes plant in Lüneburg: 400 jobs at risk!

The news about the planned closure of the Jungheinrich plant in Lüneburg by mid-July 2027 is making waves in the region. The decision is part of a global austerity program that is putting 1,000 jobs at risk worldwide. The reasons for this step are anything but trivial: international competition and increasing cost pressure are causing problems for the company, which is active in the production of special vehicles. Despite these closure plans, the plant is profitable and shows that it can definitely survive on the market. But that's not all: the closure represents a serious threat to the approximately 380 employees on site, and IG Metall reacts violently to the news. As Merkur reports, the union has already offered talks to save the jobs and the Lüneburg location.

IG Metall harshly criticizes Jungheinrich's actions and describes the planned closure as a "breaking of taboos". Ole Drewes, union secretary, says that the company's ambitious goal of doubling sales by 2030 comes at the expense of the employees. While Jungheinrich achieved a surplus of 289 million euros in the last financial year, one has to ask whether this path is the right one. According to Welt, Jungheinrich's profits are actually insubstantial when it comes to the social responsibility that a highly profitable company has towards its workforce.

Global austerity measures and their effects

The savings program aims to save 100 million euros in the medium term. Jungheinrich lowered its forecasts twice in July due to overall weak business development and negative effects from Russian business. Sales stagnated in the last quarter at around 1.3 billion euros, while incoming orders rose by 4.2% to just under 1.4 billion euros. For the current year, earnings before interest and taxes (EBIT) are estimated to be significantly lower at between 160 and 230 million euros, 120 million euros less than originally planned. This development casts a bleak light on the future of the employees in Lüneburg.

In addition to the closure in Lüneburg, further dismantling measures are also planned in Norderstedt and at the Hamburg headquarters. The company announced additional job cuts here, which is putting further pressure on the affected employees. The uncertainty about the future of the 400 jobs in Lüneburg remains, while employees hope for a positive signal from Jungheinrich.

Look at the numbers

The plant in Lüneburg is not only in jeopardy as a production location, but also symbolizes the conflict between economic targets and the responsibility that companies have to bear towards their employees. A rethink is required if we don't want to fight for the price of profitability on the backs of employees.