ABB to shut down plants in Hungary, set to slash 1,000 jobs

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ABB to shut down plants in Hungary, set to slash 1,000 jobs

On Tuesday, the 11th of February 2020, the Zurich, Switzerland-based Swiss-Swedish automation industry Goliath, ABB had issued a statement saying that the Zurich-based automation company engaged primarily in R&D of robotics, powers and heavy electrical equipment, would shut down its Northeast Hungarian factory situated in the city of Ozd by the year-end due to a gradual but deep decline in customer demands, while the Swiss-Swedish automation company was also set to slash roughly 1,000 jobs.

In point of fact, the Northeast Hungarian factory in the city of Ozd came in to the Swiss-Swedish company’s ownership back in the 2018s, when the Zurich-based automation industry giant had purchased the factory from the US-based power company General Electrics.

Nevertheless, adding that the closure of its Ozd unit that used to develop miniature circuit breaker for the Swiss-Swedish automation company’s electrification wings, ABB said in its Tuesday’s (February 11th) statement, “The decision was made after a thorough evaluation of all available possibilities at Ozd, but particularly in view of changes in customer demand.

As a result, Ozd’s volume will continue to decline to the point that it is not viable to keep the plant open. ” Besides, followed by its announcement to shut down one of its money-draining plant in the Northeast Hungarian city of Ozd, Swiss stock exchange-listed stocks of ABB wrapped up the day 1.77 per cent higher to Swiss Franc 24.15 ($24.76) per share.