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DSV Panalpina moves to mitigate merger effects
[ October 15, 2019 // Chris ]The DSV Panalpina Group has told employees at the former Panalpina headquarters in Basel that overlapping corporate functions and positions will either be cut or relocated to the headquarters in Denmark, with up to 165 job losses. But at the same time, the company intends to expand its logistics footprint in the Basel area.
DSV Panalpina chief executive Jens Bjørn Andersen explained: “As we integrate Panalpina into the DSV Panalpina Group, we recognise that there are substantial duplications of corporate functions. We are also seeing considerable overlaps in the IT department, as IT systems that will no longer be used in the combined group are phased out. As a result, we are considering several restructuring measures. According to our analysis, we will not be able to avoid job cuts and the relocation of positions to DSV Panalpina’s headquarters in Denmark.”
However, DSV Panalpina expects to retain around half of Panalpina’s current head office workforce by the completion in the second quarter of 2020.
A social plan has been drawn up, in line with Swiss labour law to reduce job losses and to mitigate their effects. DSV Panalpina has also invited employees to vote on the election of an employee representation body.
Speaking to employees at the former Panalpina headquarters, group chief financial officer Jens Lund said that DSV Panalpina had a strong interest in retaining a commercial and operational presence at its Basel office and in expanding its logistical footprint in the Basel area in the mid-term by consolidating suitable operational activities in Switzerland.
Tags: DSV; Panalpina