The job cuts at Upper Austrian motorcycle manufacturer KTM in Mattighofen are more significant than originally anticipated. In addition to the previously announced 300 job cuts in production, an additional 120 jobs will be eliminated at KTM Research and Development GmbH, which has 850 employees. This information was confirmed by Pierer Mobility CFO Viktor Sigl in an interview with the APA and reported by Upper Austrian news.
In an interview with the APA, Sigl stated that up to two thirds of the job cuts are expected to occur through natural departures, but there have been some layoffs since the beginning of the year. He mentioned that the downsizing of research is due to the planned relocation of production of new models to India and China, as those countries are ahead in electromobility and connectivity.
Sigl acknowledged the need for cost-cutting measures as the company is not experiencing the double-digit growth that it had in previous years. He mentioned that while around two thirds of the manufacturing job cuts may happen through natural departures, a third could be through layoffs. However, this is just a rough estimate and could change depending on the circumstances.
The number of freelance motorcycle testers will also be reduced from 150 to 90, according to Sigl. He explained that this decision was made because KTM needs to focus on its core business and reduce costs wherever possible.
