K+S to cut hours for 4,000 workers in Germany

21 August 2009 17:48  [Source: ICIS news]

TORONTO (ICIS news)--K+S plans to put 4,000 of its 7,800-strong workforce in Germany on short time work through until the end of December because of declining fertilizer demand, a spokesman said on Friday.

The measures would affect three K+S potash fertilizer sites - Werra, Neuhof-Ellers and Sigmundshal - Michael Wudonig, a spokesman for the Kassel-based producer told ICIS news.

The cuts were prompted by the “continued weak demand” for K+S’ fertilizer products, he said.

Wudonig added that K+S had been cutting hours at some facilities since last December. At the time, K+S said some 1,800 workers were affected

The company last week reported a 94% decline in second-quarter operating earnings and said it expected full-year 2009 sales volumes in its potash and magnesium products to decline to about 4m tonnes, down 43% from 7m tonnes in 2008.

In related news, BASF said this week it was considering ending short-time work at its production hub in Ludwigshafen, and German specialty chemicals producer Altana said earlier it was largely ending short-time work as order levels had improved.

Many German chemicals producers have resorted to the short-time work in past months. The government-supported programmes enable them to cut working hours while maintaining staff levels during the current crisis.

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By: Stefan Baumgarten
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