Company News

Clariant records lower sales and cuts workforce
Speciality chemicals and masterbatch producer Clariant has since 2006 been reducing its workforce (2,200 in 2008) and the latest reduction of 1,000 employees, in the sales and administrative sections, is a reflection of its 5% lower sales of CHF8.1 billion, compared to CHF8.5 billion in 2007.

The Swiss company, which employs around 20,000 people worldwide, says that the direction in 2009 will be on cash generation. The demand in some of Clariant's targeted industries of textile, leather, automotive and construction decreased dramatically in line with the overall development of the world economy.

Apart from the job cuts and other measures such as reducing temporary workforce, reducing overtime, enforcing compulsory holidays and short-time working, Clariant has been slowing or shutting down its production.

In line with its focus on cash generation, Clariant is also reducing its cash outflow and its next annual general meeting its board will recommend that the company not pay dividends, grants and other shareholder payouts for 2008.