Swiss construction and construction services company Implenia is set to lay off up to 750 employees following strategy implementation reviews for all Divisions, including a re-evaluation of opportunities and risks for all projects.
Implenia intends to concentrate its activities on core, solid-margin businesses. This will significantly improve the Group’s risk profile, focusing on integrated construction and real estate services in Switzerland and Germany. Only Tunnelling and related infrastructure projects are planned to be conducted in other markets
As company statement says, “Implenia needs to take unavoidable and painful measures such as Portfolio adjustments, restructuring including layoffs, as well as write-downs and rightsizing of businesses and functions.
“Restructuring is planned to affect up to 2,000 FTE by 2023, thereof 750 layoffs, of which 250 (are) in Switzerland. The plan is to transfer 1,250 FTE to new ownership. Implenia expects yearly savings of >CHF50M and a 20% reduction in its asset base by 2023, with restructuring costs amounting to CHF60M.
The company also reported that the Covid-19 pandemic had cost the company in the region of CHF50M.
Nevertheless, the Board of Directors and Management have reported that they are certain Implenia is well positioned to become a strong and profitable company with substantially improved risk profile.
The statement concludes, “Implenia is firmly on its way to realizing its vision of becoming a leading multinational integrated construction and real estate services provider.”