Closure of Young Heinrich Company after 80 days of strikes
After more than 80 days of strikes, forklift manufacturer Jungheinrich has decided to shut down production at its plant in Lüneburg, marking a major turning point in a long-running labor dispute.
The decision is part of Jungheinrich’s “Strategy 2030+”, which aims to expand its business in North America and the Asia-Pacific region and improve profitability worldwide. As part of a broader transformation program, the company plans to cut around 1,000 jobs globally. At the end of 2024, Jungheinrich employed about 21,000 people worldwide.
Production in Lüneburg will end by March 2027, affecting 160 workers. However, the design and administration departments will remain, keeping 125 positions at the site. Jungheinrich and the trade union IG Metall agreed on a reconciliation of interests, a social plan, and a collective agreement that includes severance pay and the creation of a transfer company. The overall compensation package is valued at several tens of millions of euros.
Despite the agreement, the union strongly criticized the move. لينارد ألداج, a senior representative of IG Metall in the Celle-Lüneburg region, said the closure targets a profitable factory rather than one in crisis. He argued that the decision is driven by strategic restructuring, not by immediate economic pressure.
The strike began on November 20 after union members voted in favor of industrial action. Production was repeatedly halted during the dispute, which lasted more than 80 days. Workers are expected to return to their jobs temporarily from February 16 until production fully stops.
Job cuts will not be limited to Lüneburg. Around 500 of the planned global job reductions will take place in Germany, including hundreds at the Norderstedt site and further losses at the Hamburg headquarters and in the sales division. The remaining cuts will be made abroad. In 2024, Jungheinrich reported sales of €5.4 billion and net profit of €289 million, both slightly down from the previous year. The company is due to present its 2025 results at the end of March, according to statements reported by Bild.