Which companies are laying off the most this year and why? | Business

The reasons for layoffs of the group’s employees remain similar – seven companies reported bankruptcy this year (last year there were three). 10 companies mentioned changes in work organization: if they decide to make changes, 418 employees will lose their jobs. For this reason, 10 group layoffs were also initiated in the first quarter of 2023, 365 employees lost their jobs.

“The statistics this year are not exceptional. Several months do not yet show annual trends. If we compare with even previous years, layoffs would be even less. Companies are reorganizing, optimization processes are underway. While still working in companies, employees often already have other potential employers. Our specialists are also working intensively on this matter,” stressed Giedrė Sinkeviče, Deputy Director of the Employment Service.

According to her, technological progress changes the activities of companies and reduces the number of low-skilled workers. An obvious example – “Omniva LT” is giving up 66 parcel allocators, coordinators, parcel distribution team leaders and support workers, as it optimizes processes by installing automated lines.

This year, the biggest layoffs of the group’s employees are expected at AB Kauno Baltija (clothing) – 115 employees will lose their jobs due to bankruptcy. AB “Lietuvos paštas” lays off 90 employees – it is reorganizing the network of postmen. UAB “Mechel Nemunas” (cold wire drawing) is giving up the functions of 83 employees due to changes in work organization.

Manufacturing companies in the industrial sector have the largest number of layoffs, similar to last year, with a total of 9. Three sewing companies declared bankruptcy this year and announced that 189 workers will lose their jobs, compared to 55 sewing companies who lost their jobs last year.

The long-known brands – Kauno Baltija and Rožė – will no longer be on the market (laying off 51 employees). Siulema in Telšiai, which has 23 employees, is also ceasing its operations.

In the field of information and communications, layoffs of 3 groups of employees are planned – the same as last year’s first quarter. It was announced that 124 employees were laid off: Vipps MobilePay AS Lithuanian branch is giving up the services of 74 employees, UAB “Interactio” – 28, Oracle East Central Europe Limited Branch – 22.

In the field of trade, two layoffs were announced this year. KB Lietuviškas pienelis lays off 21 employees due to liquidation. Prėkiu gausa, which trades in used clothes, has declared bankruptcy and will lay off 74 employees. In the construction sector, there are two group layoffs, and 41 employees will lose their jobs.

The list of laid-off workers includes the most 100 tailors. Other professions according to the specifics of the employer’s main activity – locksmiths, decorators, salesmen, lettermen, programmers, parcel distributors, money laundering prevention specialists, builders, accountants, company managers, etc.

Currently, there are 107 job vacancies for tailors in the country. In the cities where group layoffs are planned, the Employment Service has registered job vacancies for tailors: Kaunas – 40, Vilnius – 16, Telšiai – 2.

Eight companies in Kaunas have been informed about the planned layoffs of the group’s employees, specifying the employer who plans to lay off employees and professions. And four companies – Z. Kuncienės, MB “Sautilė”, “Siuvilija”, “Fantas” have already announced vacancies for tailors.

The Employment Service informed the Telšiai companies “Sidonas ir Ko”, “Pastraja”, “Alstonas” about the laid-off tailors from “Siulena” and agreed with the employers on further steps to employ the laid-off workers.

During the meeting with the specialists of the Employment Service, the unemployed employees of the company “Rožė” were introduced to the vacancies for tailors of the companies “Tuma”, “Grožvyda”, “Linterno”.

In Kaunas, four more companies offer work for employees of various qualifications. Germany’s HI STEEL would employ operators, locksmiths, production foremen, coordinators, shift foremen, welders, turners, millers, quality controllers, electricians and department heads.

“Kaunas Metal” is currently looking for operators, storekeepers, accountants, support workers, welders, managers and engineers. “Trate” will employ CNC machine operators, quality controllers, packers, metalworking machine operators, turners, personnel specialists and engineers. “Serfas” would accept operators, welders, quality specialists, electricians, locksmiths, warehousemen, truck drivers, loaders.

According to G. Sinkeviče, now the dismissal of the group’s employees is not a sentence for a qualified specialist: “Sometimes after 20 years in one company, it is not easy to find a job under different conditions, so we help such people to rediscover themselves by acquiring new competence in addition to the qualification they already have or by changing the direction of activity in general”.

This year, the Employment Service informed 730 employees who were notified of layoffs about the situation on the labor market, job vacancies, registration procedures and conditions, retraining, etc. Only 102 employees who were notified of the layoff planned to apply to the Employment Service.