Tata Steel To Layoff 800 Employees In Netherlands To Improve Market Position, Reduce Costs

ata Steel Netherland has announced to lay off 800 employees including temporary workers, in an attempt to improve its market position and reduce costs. However, Tata Steel also announced that there will be no complete vacancy freeze despite the latest job cuts.

In its statement, Tata Steel said, "Despite all efforts by Tata Steel to improve its market position and reduce costs, more is needed and the company also needs to further reduce personnel costs. Reducing the number of jobs is a difficult decision that can have a major personal impact on employees and their families."

Accordingly, Tata Steel said the job reduction is expected to affect approximately 500 Tata Steel employees. These employees would be people in management, staff and support positions.

"There is emphatically no intervention in the five-shift system. Forced redundancies cannot be ruled out and the company will discuss a social plan with the unions."

The rest of the 300 jobs that will disappear concern the work of temporary workers and the failure to fill vacancies that are not directly related to production.

Tata Steel said measures that are being taken are also in the interest of the transformation to a cleaner, greener and more circular steel company.

Furthermore, it said, "Substantial investments are being made in this now and in the coming years. It is therefore important to have and maintain a strong competitive position and to be agile enough to respond to rapidly changing circumstances and new developments. Especially when countries are increasingly pursuing a more active industrial policy, which also disrupts a level playing field in Europe."

Lastly, Tata Steel said, "Despite the reduction in the number of jobs, there is no complete vacancy freeze. The need for technically trained people, for example in production, remains. Now and in the future in the next steps of our Green Steel plan."

On BSE, Tata Steel shares ended at Rs 120.95 apiece on Monday, flat compared to the previous session. Its market cap is nearly Rs 1.48 lakh crore.