Sunday, February 22, 2015

Recovery plan for Karstadt is –

Recovery plan for Karstadt is –

Not for everyone, but for many of the Karstadt employees is to agree quite good news: The council has indicated that it can reduce the number of planned layoffs significantly in negotiations with the ailing department store chain. Were also agreed retirement and early retirement. Therefore, the expected number of layoffs of 2750 originally located at 1400 have halved quasi reported the council chairman Hellmut Patzelt. Under the circumstances he was “very pleased” with the outcome .

Karstadt based on voluntary

The company itself was not comment on specific termination numbers, but confirmed the compromise and called it a “breakthrough” in the rehabilitation program, which was achieved with the assistance of an arbitration committee. For the remaining redundancies Karstadt have agreed with the General on the establishment of a transfer company in order to best qualify affected by termination of employees. Total Karstadt put on “voluntary and turnover” among employees to achieve the savings targets.

sales continued to decline

The Karstadt management had after adoption of the tradition Group by the Austrian real estate investor René Benko announced severe cuts. The end of six sites, the Supervisory Board had already decided. Affected are two classic department stores in Billstedt and Stuttgart, the stores specializing in young fashion chain “K-Town” in Cologne and Göttingen and discount stores of the Group in Paderborn and Frankfurt / Oder. In addition, many jobs will be eliminated in the branches and headquarters in Essen

The entry Benkos nothing has changed on the basic problem of the department store chain. Karstadt continues to struggle with declining sales. Also the important Christmas sales (AP rtr,) remained significantly below the previous year’s level.

qu / rb


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