Schaeffler Germany Lay off Job Cut: Schaeffler Fires employees

Just some hours back it was General Motors GM which went for a massive lay off and now it is the turn of Germany based Schaeffler to fire employees.

Yesterday Schaeffler (Official Site), which is the the second large company in the Germany automobile sector, decided to lay off temporary workers

The same reasons of industry slowdown, were cited by the Schaeffler Management. However, these developments have given sufficient pointers that the the labour market in Europe's biggest economy is having serious problems and may be on the verge of a decline.

As per the news reported, Car-parts maker Schaeffler said it felt "a marked slowdown in the deliveries to carmakers in recent months" and would therefore "significantly" reduce its temporary staff.

There are around 4,000 contract workers worldwide in Schaeffler. Apart from that, there are around 66,000 permanent employees world wide for Schaeffler. In a similar move, German truck and diesel engine group MAN said this week it would cut production and reduce its temporary workforce.

The slowdown at Schaeffler comes after the company took on €16.1bn ($21.6bn) in debt to finance a takeover of Continental.

Let's hope that alternative jobs are available to the affected employees of Schaeffler.