Lonza to cut jobs in Visp
The aim is to make cost savings of CHF 40 million in Visp and Basel over the next 18 months
Lonza Group is to cut 193 jobs in Visp, from more than 3,000 posts across Switzerland, as part of a move to achieve cost savings in Visp and Basel of CHF 40 million over the next 18 months as part of a company-wide restructure.
Lonza says the objective is to strengthen Visp’s leading position in innovation and integrated value creation for life sciences.
The company estimates that the job cuts will result in around 30 redundancies after it has taken advantage of natural wastage.
The cuts form part of the 450 job losses (about 5% of the workforce) announced at the end of October 2009.
As the measures will also affect employees covered by a collective employment contract, Lonza will terminate a training agreement agreed in April 2008. The company will initiate immediate discussions with the social partners and employee representation councils at the Visp site to explain the measures in detail. The company has yet to clarify what it intends to do at the Basel site.
‘Our operations in Switzerland face great challenges,’ said Lonza’s chief executive Stefan Borgas. ‘The global economic crisis and the structural changes in the pharma industry have accelerated and intensified the cost pressures we face, in addition to the effects of exchange rate trends with a strong Swiss franc, and increased energy and transport costs.
‘The measures we are implementing will allow our operations in Switzerland to remain competitive.’