Published on : Thursday, October 31, 2013
Steelcase, a reputed office furniture manufacturer of United States showed serious intentions of closing down its plant in Durlangen, Germany. The decision taken by the management was intimidated to the employees on 17th of October, 2013 as they are planning to shift the cabinet furniture production to a new location in Stribro, Czech Republic.
The construction of the new factory is likely to commence in November and with this latest development, Steelcase is expected to make annual savings of approximately US$10m resulting from the transfer of production, which is actually scheduled to start in spring 2014 and will c consequently be completed with a single year.
However Steelcase has a second production location in Germany, in the form of Rosenheim, where there are currently 468 employees, but as far as the management is concerned this plan is not affected by the current shifting decision. Nevertheless, according to company sources, very few employees will have the opportunity of moving from Durlangen to Rosenheim.