manroland Reaches Terms with Works Council

OFFENBACH, GERMANY—manroland AG and the works council at the press manufacturer have agreed on a "reconciliation of interests and a social plan" that will see a reduction of about 500 jobs combined at manroland plants in Augsburg, Offenbach and Plauen, Germany, by the end of 2012. As part of the agreement, another 300 employees will be transferred to its new business unit, manroland Industrial Services, which is slated to kick off Jan. 1.

The portfolio of this new business unit includes industrial consultancy as well as the placement of technical specialists as temporary staff. With the reconciliation of interests, the world’s second largest manufacturer of printing systems reports it is taking the next major step in its strategic reorientation.

The measures are part of a comprehensive restructuring package to secure the company’s long-term independence. Implementation of the strategic reorientation is making progress not only on the cost side but also on the growth side. manroland recently agreed on a cooperation with Océ Printing Systems for digital printing; began a co-op with the Tensor Group in the area of newspaper printing for growth regions; and expanded its services offering worldwide.

The reconciliation of interests regulates the job cuts announced in September, as well as redeployment of personnel between company locations. Among other aspects, the package covers offers for voluntary termination, reassignments to other company locations and extensive measures for further qualification. Also, a transfer company will be formed for affected employees.

The planned job cuts of around 500 will affect indirect functions in administration, as well as the production areas. As a result, the number of manroland’s worldwide employees will drop to about 6,000 by the end of 2012. Furthermore, a framework paper for concluding a supplementary wage agreement has been negotiated with the IG Metall union.