The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
(10 - 33) Manufacturing (28) Manufacture of machinery and equipment 28.4 - Manufacture of metal forming machinery and machine tools 28.41 - Manufacture of metal forming machinery and machine tools for metal work
New offshoring locations
Czechia
50 - 150 jobs Number of planned job losses
Announcement Date
25 August 2025
Employment effect (start)
25 August 2025
Foreseen end date
Description
Engel, an Austrian manufacturer of injection moulding machines, announced the elimination of 50 jobs at its sites in St. Valentin, Schwertberg and Dietach, with further reductions expected as production is increasingly shifted the Czech Republic. The restructuring affects production workers at the Upper Austrian plants.
The company cites a decline in orders, intensifying international price competition, rising costs in the domestic automotive sector, and the growing pressure from low-cost Asian imports as key drivers of the decision. Around 20% of production is expected to be relocated abroad, with works council representatives warning that up to 100 additional layoffs could follow.
Job reductions will be carried out through dismissals, supported where possible by natural attrition such as retirements. A planned wage adjustment for autumn has already been cancelled. The current workforce reduction follows a previous layoff earlier in 2024, when 35 employees were dismissed due to declining order volumes.
The works council has strongly criticised the measures, emphasising the risk to the Schwertberg headquarters in particular, while management highlights the necessity of safeguarding competitiveness in a highly challenging global market.
Engel employs several thousand people worldwide and is regarded as a leading European producer in its field. The company has previously pursued restructuring measures, including the earlier transfer of small-machine production to the Czech Republic.
Eurofound (2025), Engel, Offshoring/Delocalisation in Austria, factsheet number 203230, European Restructuring Monitor. Dublin, https://dev.eurofound.europa.eu/restructuring-events/detail/203230.
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