EnBW could cut up to 400 jobs in a bid to save an extra $280m as it scrambles to respond to the task of paying for nuclear decommissioning as well as the decline in its coal and gas-fired power plant business.
The German utility said on Tuesday it wanted to save the amount by 2020, as it continues to struggle with falling power prices and the continuing growth of renewable power.
Citing a “renewed deterioration” in conditions, EnBW Chief Executive Frank Mastiaux said additional measures were necessary in order to speed up the restructuring of its sales division.
The company is to withdraw from the business of selling electricity and gas to large industrial customers which it has deemed unprofitable and not offering sufficient growth prospects.
Affected employees are expected to be offered voluntary severance packages or an alternative job within the group, it added.
Additional cost-saving measures are planned in the utility’s private customer business, generation and trading and administrative functions in coming months, EnBW said, without giving details on the number of jobs affected.
EnBW, which currently employs around 20,000 people, has already cut around 1,650 jobs in the past two years.
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