Faulhaber to Close La Chaux-de-Fonds Site, Cutting 70 Jobs
Swiss Micromotor Maker Faulhaber to Shutter U.S. Plant, Citing Declining Orders
La Chaux-de-Fonds, Switzerland – German micromotor manufacturer Faulhaber has confirmed plans to close its la Chaux-de-Fonds facility, eliminating approximately 70 jobs and shifting production to Hungary. The move has sparked outrage from the Unia union and employees who argue the plant remains viable.
Following weeks of intensive consultations with staff, a delegation comprising six employees and Unia representatives presented a report to management on december 6th. The report, according to a union statement, ”demonstrates not onyl that the company is viable but also that it is profitable.”
The Neuchâtel canton had also offered considerable financial aid to keep the plant operational. Unia contends that relocating production poses a “huge risk” to Faulhaber Drive Systems (FDS) and could lead to the disappearance of a product developed in La Chaux-de-Fonds.
“In a mere six-minute allocation, management confirmed, without any discernible emotion, that they prefer to terminate the contracts of approximately 70 people in order to relocate production,” the union stated.
Declining Orders Cited as Reason for Closure
In a November statement, Faulhaber attributed the closure to “a significant decline in orders over the past 18 months.” The company expressed hope that planned efficiency improvements and cost reductions would bolster its competitive position in the market.
Faulhaber established its presence in La Chaux-de-Fonds in 2001 through the acquisition of Precistep, a manufacturer of precision micromotors. The German group’s Swiss headquarters is located in Croglio (TI),where it also operates a production facility. Along with La Chaux-de-Fonds, Faulhaber has sites in Granges (SO) and Bioggio (TI), and owns the Bienne-based company MPS.
Faulhaber Closure Raises Concerns Despite Claims of Viability
La Chaux-de-Fonds, Switzerland – Teh impending closure of Faulhaber’s La Chaux-de-Fonds plant, slated too eliminate 70 jobs, has ignited controversy. Despite Faulhaber’s assertion of declining orders as the driving force behind the decision, the Unia union and plant employees maintain the facility is both viable and profitable. A report presented to management on December 6th by Unia representatives and a delegation of six employees laid out their case.
The report, according to Unia, clearly demonstrates the plant’s financial health and profitability. Further compounding the issue, the Neuchâtel canton had offered substantial financial aid to keep the plant operational. Unia argues that relocating production to Hungary presents a “huge risk” to Faulhaber Drive Systems (FDS), potentially leading to the demise of a product developed in La Chaux-de-Fonds.
in a brief meeting lasting onyl six minutes, management confirmed their decision to terminate employment contracts, expressing little empathy for the impact on employees, according to Unia. Faulhaber, a German micromotor manufacturer, established its presence in La Chaux-de-Fonds in 2001 through the acquisition of precistep, a local precision micromotor manufacturer.
While the La Chaux-de-Fonds facility faces closure, Faulhaber maintains its Swiss headquarters in Croglio (TI), and also operates production facilities in Granges (SO) and Bioggio (TI), in addition to owning the bienne-based company MPS.