28.01.2011

Major restructuring at JLG Maasmechelen

JLG has announced plans to significantly reduce staffing levels at its Maasmechelen production facility in Belgium. The plant currently employs 297.

The restructuring, which it says is due to “sustained economic pressures in the European Access Equipment Sector, resulting from the worldwide global economic crisis,” is likely to see the departure of 101 shop floor and eight office staff.

The company statement goes on to say that while some economic recovery is expected in Europe, the access equipment sector has not yet rebounded and that the order intake for Maasmechelen has been running well below levels of previous years.

“Despite strict cost control measures these recent years at JLG Maasmechelen including temporary unemployment, unpaid leave and a general wage freeze, JLG Maasmechelen must consider structural changes to its operation in order to position itself for competitive advantage.”

As a result the company has instituted procedures under the so called ‘Renault Act’ of 1998 with the Works Council.