German automotive wiring harness manufacturer Drexlmaier will close its factory in the industrial zone in Zrenjanin by the end of March next year, after 19 years of operation, the 021.rs portal reported, citing a notice from the company’s management to its employees.
The notice, signed by Guido Meinelt, Representative for Operations in Eastern Europe, and Tobias Afsali, Vice President of Human Resources, states that Drexlmaier “has made significant efforts to secure a sustainable future for the Zrenjanin facility.”
“Unfortunately, we have been unable to secure a new project for the factory in Zrenjanin. As a result, current projects at the factory will be discontinued by the end of January 2027, and the factory will be closed by the end of March 2027,” the notice states.
The company said it remained committed to its promises and obligations, and that all employees would receive the agreed severance payments in accordance with the Redundancy Program and the Drexlmaier Collective Agreement.
As they explained, the gradual reduction of production by the end of January will affect 85 percent of employees, while the team responsible for activities required to complete the closure of the facility by the end of March will not be affected.
Drexlmaier’s first production hall, covering 14,600 square meters, was opened on May 9, 2008. Production began with 350 employees, and the initial investment was estimated at approximately six million euros at the time.
The first expansion of production facilities and the opening of a second hall followed in 2012, while the second expansion, adding another 13,000 square meters and opening a third hall, took place in 2016.
At one point, the company employed more than 6,000 workers and was the largest employer in the Central Banat District. It currently has 1,100 employees.
Layoffs suspended ahead of the elections
At the beginning of this year, Drexlmaier announced that it would have to close its factory in Zrenjanin due to declining production volumes in Europe’s automotive industry, which meant the company had not received any new orders.
At the end of August, management announced that it was suspending its planned employee redundancy program, hoping to secure potential new projects in the e-mobility sector.
“We are pleased that new projects have reached the final decision-making stage,” Tobias Afsali, Vice President of Global Human Resources, said at the time.
The company also stated in its announcement that it was in close contact with state authorities in an effort to find a “quick and sustainable solution for the factory in Zrenjanin.” Photos from those meetings were also published on social media by Minister of Economy Adriana Mesarović.
MORE TOPICS:
Source: N1, Foto: N1
Add Serbian Times as your Google source