European Companies Announce Job Cuts Amid Economic Slowdown

Overview of Layoffs Across Key Sectors

As economic challenges persist across Europe, numerous companies have been forced to implement hiring freezes or reduce their workforce. Weak demand and uncertain market conditions are driving layoffs across industries. Below is a breakdown of significant announcements since August:

Banking Sector

• DNB: The Norwegian lender plans to cut 500 full-time jobs within six months to address lower interest rates and heightened competition.
• Santander: The Spanish bank will reduce over 1,400 jobs in its UK operations.
• UniCredit: Italy’s banking union Fabi reported an agreement involving 1,000 voluntary redundancies and the creation of 500 new jobs.

Automotive Industry

• Michelin: The French tyre manufacturer is shutting two facilities in Western France, impacting 1,250 jobs.
• Schaeffler: The German car parts and machinery maker will lay off 4,700 employees due to reduced demand from auto and industrial clients.

Industrial and Engineering

• Northvolt: The Swedish battery producer plans to cut 1,600 jobs.

Retail and Consumer Goods

• Auchan: The French supermarket chain intends to eliminate over 2,000 positions due to declining store traffic.
• Husqvarna: The Swedish garden equipment firm will cut approximately 400 jobs, citing constrained consumer spending.

Telecom Sector

• Telia: The Swedish telecom operator aims to cut 3,000 positions in 2024.

Other Industries

• Airbus: Up to 2,500 jobs in the Defence and Space division will be cut by mid-2026.
• Equinor: The Norwegian energy producer plans to reduce its renewable energy staff by 20%.
• Infineon: The German chipmaker will cut 1,400 jobs globally and relocate another 1,400 roles to lower-cost countries.
• Lufthansa: The German airline will gradually reduce administrative jobs by 20%.
• Mondi: A fire-damaged paper mill in Bulgaria will be shut down, affecting 300 jobs.
• SMA Solar: Up to 1,100 global positions will be cut at the solar parts supplier.
• Shell: The energy giant plans a 20% workforce reduction in its oil and gas exploration division.
• Solvay: The Belgian chemicals company will reduce its workforce by 300-350 jobs across multiple countries.
• Tamedia: The Swiss media company is shutting two printing works, affecting nearly 300 employees.
• UPM: The Finnish forestry group may eliminate 110 jobs in Finland and has announced closures in Germany, impacting nearly 400 jobs.
• Yara: The Norwegian fertilizer producer will shut an ammonia unit in Belgium, potentially cutting 115 jobs.

Key Drivers of Layoffs

Economic stagnation, inflation, and weak consumer demand are cited as primary reasons for workforce reductions. While some companies implement temporary measures, others are restructuring long-term operations in response to sector-specific challenges.