'ContiTech plans to implement all measures in as socially responsible a manner as possible,' the statement read. The group is relying on a voluntary redundancy program, scheduled to begin immediately, as well as internal and external retraining initiatives. The job cuts will primarily focus on administrative functions in Hanover and, to a lesser extent, at other locations. The works council stated that compulsory redundancies should be avoided until at least the end of 2030. Instead, the workforce reduction is expected to be achieved through voluntary schemes, part-time work arrangements, internal transfers, or early retirement packages.
The package also includes investment commitments that any future buyer of ContiTech must honor, as well as guarantees for vocational training and further education, said works council chairman Matthias Tote. Furthermore, Continental has pledged to involve employee representatives in the ContiTech sale process, specifically regarding the selection criteria for potential bidders. Continental intends to divest ContiTech within the current year to focus exclusively on its tire business. According to reports, financial investors are particularly interested in the subsidiary, which manufactures rubber and plastic products for industrial applications outside the automotive sector.
(Reporting by Alexander Hübner and Christina Amann, edited by Sabine Wollrab. For inquiries, please contact our editorial office at berlin.newsroom@thomsonreuters.com (for politics and economics) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).)
