Construction firm Implenia to cut around 750 jobs
Switzerland’s biggest construction company says it is planning a reorganisation that will involve layoffs, write-downs and the sale of parts of the company.
A total of up to 2,000 full-time equivalent (FTE) positions will be affected by the restructuring by 2023, Implenia said in a statementExternal link on Tuesday. About 750 redundancies are planned, 250 of them in Switzerland. Around 1,250 FTEs are set to be transferred to new ownership.
Implenia, based in Dietikon near Zurich, said it intended to focus on integrated construction and real estate services in Switzerland and Germany. Only tunnel construction and related infrastructure projects are planned in other markets.
The steps are expected to generate savings of more than CHF50 million ($55 million) a year by 2023. The restructuring costs amount to about CHF60 million.
In addition, the company estimates that the continuing negative impact of Covid-19 will cost around CHF50 million in 2020, and operating earnings before interest, taxes, depreciation and amortisation (EBITDA) are therefore expected to fall by CHF70 million.
Implenia employs more than 10,000 people in Europe and posted revenue of over CHF4.4 billion in 2019.
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