Industryweek 35260 Basf 1

BASF to Cut 6,000 Jobs to Drive Down Costs Amid Slowdown

June 27, 2019
The workforce reductions will impact operations globally and are expected to generate savings of $341 million.

BASF SE is cutting 6,000 jobs worldwide in a bid to cut costs as demand slows for chemicals used in industries ranging from cars to electronics.

The workforce reductions will impact operations globally and are expected to generate savings of 300 million euros ($341 million), the Ludwigshafen, Germany-based company said in a statement on Thursday.

Chief Executive Officer Martin Brudermueller is targeting a 2 billion-euro earnings boost as he simplifies BASF and makes it more in tune with rapidly changing markets. Results from companies including HB Fuller Co. and LyondellBasell NV are showing weakness in markets like coatings and plastics. Brudermueller’s vision is to work more closely with customers to sell more higher-margin products rather than simply delivering barrels of basic chemicals.

“We will set up the new organization with a clear focus on leveraging synergies, reducing interfaces and enabling flexibility and creativity,” the CEO said in the statement. Talks on a labor deal at the Ludwigshafen site will get underway earlier than planned.

Popular Sponsored Recommendations

How Digital Twin Technology is Empowering Manufacturers

Sept. 27, 2023
This FAQ delves into why this technology offers business value and considerations toward implementation.

Discrete and Process Manufacturing 2024 Trends and Outlook for North America

Oct. 29, 2023
Manufacturers are reaping the benefits of automation and cloud-based solutions. Discover what is driving today's industry trends and how they can shape your growth priorities ...

Process Mining For Dummies

Nov. 19, 2023
Here it is. Everything you need to know about process mining in a single book, written in the easy-to-understand, hard-to-forget style that ‘For Dummies’ manages so effortlessly...

Why DataOps may be the key to unlocking the full potential of digital transformation

Nov. 3, 2023
Read the 2023 market survey conducted by IndustryWeek

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!