Hungary’s MOL to Lay Off 220 Workers due to Economic Crisis
PRAGUE (ICIS news)--MOL is to lay off 220 of its more than 5,400 employees due to the impact of the global economic crisis, the Hungarian oil, gas and petrochemical company said on Monday.
The company described the staff reduction as part of its ongoing “efficiency enhancement programme”, without specifying which of its businesses would be affected.
However, it confirmed main petrochemical subsidiary TVK would not suffer any job losses.
The layoffs would be implemented across 2009, with one-third of the job losses classified as early retirement.
Last November, MOL announced it was cutting its capital expenditure budget by 35% as it aimed to reduce costs and achieve €80m-100m ($103m-128m) in savings.
The month also saw ratings agency Standard & Poor's downgrade MOL's credit rating to below investment grade, citing its stretched finances in the new economic environment.
The company described the staff reduction as part of its ongoing “efficiency enhancement programme”, without specifying which of its businesses would be affected.
However, it confirmed main petrochemical subsidiary TVK would not suffer any job losses.
The layoffs would be implemented across 2009, with one-third of the job losses classified as early retirement.
Last November, MOL announced it was cutting its capital expenditure budget by 35% as it aimed to reduce costs and achieve €80m-100m ($103m-128m) in savings.
The month also saw ratings agency Standard & Poor's downgrade MOL's credit rating to below investment grade, citing its stretched finances in the new economic environment.
source: www.ICIS.com
