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The head office and production, where a total of about 2,000 employees work, are affected by the reduction, but not the sales organization with several hundred employees, the Umdasch Group company said. The company will not extend part-time work for a further period after the end of the current phase in late September. Employees were reportedly briefed yesterday afternoon on the drastic savings plans.
According to the information, the reduction should not only occur through layoffs, but also through natural exits, the spokeswoman emphasized. According to the company, with the savings program, Doka is responding to “significantly reduced demand, especially from the Middle East, Asia and Latin America.” Little is likely to change in this regard in the near future.
For the current year, but also for the next year 2021, “a significantly reduced need for formwork” is emerging. This February, before the crown crisis, Doka was still on a growth path. The closing of the crown and its consequences have “turned this growth negative.” This recession could have been accepted for a year. But now it is clear that the markets of the Middle East, Asia and Latin America in particular are affected by the crisis of the crown to a greater extent and, above all, in a more sustainable way, that is to say, “well beyond 2020” of what was previously assumed.
In almost every country in Latin America, large construction sites have been closed for months. The situation is similar in metropolises such as Singapore and countries like Malaysia or India, where the peak of the crown is still imminent despite a rigorous closure.
“We now know that we will not reach the sales level in 2019 for a longer period of time,” said Doka boss Harald Ziebula. “Short-time work is a bridge instrument. The horizon we see is too far away to continue.” Therefore, the short-term work at the Amstetten location will end at the end of September.
In the course of the fall there will be restructuring measures in many areas of the company, including through staff reductions. The number of employees will be “adjusted” in the coming months through natural leaves that have not been covered, early retirements, voluntary resignations, but also layoffs. The framework conditions are already being negotiated with the works councils.
In addition to the location measures, corresponding restructuring is also taking place in the affected regions and countries.
Doka operates internationally in 70 countries with around 7,000 employees around the world. The company has been producing and marketing formwork components and systems for more than 60 years. Together with umdasch The Store Makers and Umdasch Group Ventures, Doka is part of the Amstetten Umdasch Group-based shop formwork and assembly technology group.
