Swiss energy firm Groupe E to slash nearly 200 jobs

Groupe E to cut nearly 200 jobs in French-speaking Switzerland Keystone-SDA

Swiss energy supplier Groupe E will shed 188 jobs after its operating performance declined in 2024.

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The company is faced in particular with the lack of profitability from major projects.

“A social plan will be drawn up with the social partners, including the Syna trade union and staff committees and representatives. It aims to ensure a fair and respectful transition and includes active support in finding a job”, the company based in Granges-Paccot, in the canton of Fribourg, said in a press release published on Wednesday.

Depending on the results of the consultation procedure, which began on Wednesday and will last until mid-May 2025, “the job cuts will take place during the course of this year or at the beginning of 2026”, it adds. Groupe E intends to restructure its branches in the cantons of Jura, Neuchâtel, Vaud, Fribourg, Valais and the Bernese Jura.

“Unfortunately, job cuts affecting 188 people out of a total of 2,600 seem unavoidable, subject to the outcome of prior consultation with the social partners.”

The group explained that since 2023 it has been facing “a marked decline” in sales of photovoltaic panels and heat pumps. To cope with this market trend and ensure the company’s economic stability, it has carried out a “strategic analysis”.

“Its conclusions have now led to a far-reaching restructuring aimed at making the Technical and Infrastructures Division (DTI) more agile, increasing its profitability and better meeting the expectations of its customers”.

Restructuring impact

Managing Director, Michel Beaud, is also stepping down after more than 30 years with the company.

“This new organisation, which is more flexible and focused on promising activities, will enable the Group to reposition itself in the long term”, Groupe E stated. The company anticipates that this restructuring will have a negative impact on performance in 2025, and expects profitability to improve from 2026 onwards.

In 2024, sales fell by 4.2% to CHF1.1 billion. However, its operating performance (Ebit), at CHF12 million, was CHF6.6 million lower than in 2023, mainly due to restructuring costs associated with the closure of its fibre-optic business and the lack of profitability on major projects. “This level is well below expectations and requires remedial measures.”

Net profit fell by 11.8% to CHF85 million, “thanks to a CHF55 million contribution from EOSH Holding”. Cash flow more than doubled (+57.4%) to CHJF170 million, “demonstrating Groupe E’s ability to finance its investments in the energy transition”.

Translated from French by DeepL/mga

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