The restructuring of the mechanical engineering division of Borgers was successfully implemented with GÖRG

Cologne, 22.06.2020

Under the leadership of the Chief Restructuring Officer Ralf Schmitz, the Borgers Group has now successfully completed the restructuring of its mechanical engineering division with the subsidiaries Olbrich GmbH and R+S Technik GmbH with the help of the GÖRG labour law partner Dr. Ralf Hottgenroth.

As part of the restructuring process the operation of R+S Technik GmbH had already been closed in the course of last year and the staff there has been reduced. Thereby it was possible to limit the reduction of staff at Olbrich GmbH in Breitscheid in December. In order to push the restructuring process the works council agreed the reduction of staff by about a quarter. An essential part of the restructuring process has now been implemented. For the employees of Olbrich GmbH in Bochum a reorganisation collective agreement was concluded with IG Metall. Among other things, the agreement provides for salary waivers by the employees over a period of three years from July 2020. In order to secure the Bocholt location in the long term and to develop it into a group-wide competence centre, the Olbrich GmbH commits itself to investment measures in return. Furthermore a social compensation plan and a reconciliation of interests were negotiated. The staff reduction at the Bocholt location was significantly reduced and more than 80 jobs were retained. Further it was agreed that the automotive division of Olbrich GmbH would be spun off to a newly founded subsidiary. 

Due to the restructuring of Olbrich GmbH and the spin-off of the automotive division, an extensive future program to increase competitiveness and productivity is being implemented. With the realignment, Olbrich GmbH is reacting to the declining sales especially with customers from the automotive industry. In addition high personnel costs at the German locations had put the company in financial difficulties.

Advisors Olbrich GmbH and R+S Technik GmbH (Borgers-Group)

GÖRG Partnerschaft von Rechtsanwälten mbB
Dr. Ralf Hottgenroth, Partner, Lead Management, Cologne
Dr. Hagen Strippelmann, Associated Partner, Labour Law, Cologne

Advisors IG Metall NRW

Bernd Epping (Negotiator District Management NRW) – known from the market

Advisors works council Bocholt of Olbrich GmbH

Office in the trade union building
Daniel Welink, Münster

Advisors works council Breitscheid of Olbrich GmbH

Labour law firm Mewes
Reimar Mewes, Gießen

About Olbrich GmbH

Olbrich is specialized in the converting sector of the machinery and toolmaking division. As a system supplier of intelligent machine and line concepts for the production of web-shaped products such as wallpapers, floor coverings, foils and technical textiles, Olbrich can tailor each line individually to the specific requirements of the customer - from design to production and commissioning.

About R+S Technik GmbH

R+S Technik is specialized in the development of machines and tools for the production of interior parts for automobiles. Because R+S solutions have short changeover times, short cycle times or modular production systems, they create productivity advantages for the customers.

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