German steelmaker Thyssenkrupp Steel has announced a collective restructuring agreement with union IG Metall and employee representatives, marking a decisive breakthrough in the company's multi-year transformation program.
The agreement covers the alignment of interests, a social plan and several company-level agreements that will guide the restructuring until September 30, 2030.
The deal eliminates final barriers to the implementation of Thyssenkrupp Steel's long-planned industrial concept and provides a binding basis for measures to restructure and adjust the workforce.
The industrial concept lays the basis for major changes
The industrial concept of Thyssenkrupp Steel forms the basis of the agreement. It includes:
- a market reduction in production capacity of up to 8.7-9 million tons of steel shipped,
- the elimination or outsourcing of approximately 11,000 jobs,
- a portfolio of investment projects, including a new direct reduction plant (DRI) currently under construction in Duisburg.
The restructuring program begins immediately as the company strives to rapidly improve efficiency, reduce costs and strengthen long-term competitiveness. Despite the cuts, Thyssenkrupp Steel stressed that its long-term goal remains the production of carbon-neutral steel.
