Bosch Braga Layoffs: Economy Minister Says Calm
- Bosch Braga will implement a 'lay-off' - a temporary reduction of working hours or suspension of employment contracts - affecting approximately 2,500 workers.
- A 'lay-off' is enacted by companies facing market, structural, technological, or catastrophic challenges that significantly impact operations.
- Despite the lay-offs, Minister of Economy Castro Almeida expressed "relative tranquility" regarding the company's future.
Bosch Braga Announces Lay-Offs Amid Component Shortage
Component Shortage Leads to Temporary Work Stoppages
Bosch Braga will implement a ‘lay-off’ – a temporary reduction of working hours or suspension of employment contracts – affecting approximately 2,500 workers. The measure, initiated due to a shortage of electronic components, is scheduled to begin in november and last until April 2026.
A ‘lay-off’ is enacted by companies facing market, structural, technological, or catastrophic challenges that significantly impact operations.
Government Assures Stability and Worker Protections
Despite the lay-offs, Minister of Economy Castro Almeida expressed “relative tranquility” regarding the company’s future. he stated the situation is a “circumstantial problem” that won’t jeopardize Bosch’s long-term viability as a key employer in the region and Portugal as a whole.
Almeida emphasized that the company is not experiencing a lack of customers, work, or competitiveness, dismissing concerns about a broader market downturn. He also communicated Bosch’s commitment to upholding workers’ rights to members of the Agriculture and Budget committees.