Shirt manufacturer Eterna ends production in Bánovce nad Bebravou. Around 300 people will lose their jobs at the end of March next year. The German management of the company justified the decision by rising costs. This was confirmed for TASR on Thursday by the director of the Bánov plant, Marek Holubek. TV Markíza drew attention to it.
“You company every year increased costs by increasing the prices of electricity, gas, and spare parts. But the largest component of costs are wages, as they are at a minimum level and the annual increase put us in an unflattering situation,” outlined Holubek.
According to him, this year the company reached a turning point and the head office in Germany decided that the Bánov plant would no longer produce. “Production will last until the end of March next year. It will involve the production of approximately 2,000 shirts per day,” he added.
Holubek further elaborated that the decision to end production will affect 302 employees. “All of them will finish at the end of March. The employment relationship with the employees will be terminated in accordance with the law and they will also receive severance pay commensurate with their years of service,” the director clarified.
A company in which 98 percent of employees are women, according to him, she has already announced mass layoffs at the relevant office of labor, social affairs and family.
Two years ago, the second of the larger clothing companies in Bánovce nad Bebravou went bankrupt – Zornica Banko Fashion, which gradually reduced the number of its employees. Several smaller companies operate in the clothing industry in the city.
“Unemployment in Bánovce nad Bebravou is not extremely high, but as far as the application of our employees is concerned, it will be a bit of a problem. There are some smaller companies where we can allocate ten or 20 employees. Other employers who are interested in buying machines stop by us and we gradually offer them our employees. We are looking for a job for them, we are cooperating with the labor office,” Holubek added.
Eterna has been operating in Bánovce nad Bebravou since 1997, when it also started production. In its heyday, it produced 8,000 shirts a day in two shifts, currently it is 2000 pieces per day. One hundred percent of the production of the Bánov plant goes to the parent company in Germany, from where they are distributed to customers.
The average rate of registered unemployment in the district of Bánovce nad Bebravou reached 2.14 percent in October.
