750 jobs to be slashed at Apollo Tyres plant, in the Netherlands

The Company will now focus on specialisation and sustainability.

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Apollo Tyres is planning to slash about 750 jobs at its plant in the Netherlands, by 2022. The job cuts are aimed at ensuring that the business is sustainable and the focus remains on production of high-value tyres only.

The Indian tyre manufacturing company had acquired Vredestein Banden BV (VBBV) in 2009 from Russia’s Amtel-Vredestein NV, when the latter had gone bankrupt.

Apollo Vredestein BV (AVBV) has discussed the Enschede plant’s future with its employees and conveyed to them the plans to establish a more sustainable business in the Netherlands.

The employees have been told that AVBV wishes to focus on producing only high-performance Vredestein tyres at a profitable level. However, in order to align the plant to a production level that will ensure specialisation and sustainability, the workforce will have to be reduced. Approx. 750 full-time employees will, therefore, have to go.

Given the existing workforce and operating scale, it will be impossible to continue producing certain tyre sizes without compromising on sustainability and competitiveness. The workforce has been explained that to be able to focus on specialisation and a sustainable future in the Netherlands, downsizing will be absolutely necessary for the Company.

The plant will now concentrate on producing only agricultural tyres along with high-end passenger car tyres that have a short production run. The Company is going to work towards making the Enschede plan a quality centre, with agile production and innovativeness.

The Company has promised to lend its employees all possible support during these trying times.

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