Recaro seat manufacturer files for unexpected bankruptcy
The automotive industry is currently experiencing a challenging period, which is impacting even seat manufacturers. Recaro has unexpectedly filed for bankruptcy.
According to the service "Automobilwoche," Recaro's decision came as a surprise to both employees and the IG Metall trade unions. The information regarding the bankruptcy filing was published on 29 July by the court in Esslingen.
"It is unclear what this means for the 215 employees of Recaro Automotive GmbH in Kirchheim. We expect all options to be exhausted in order to secure jobs and find a sustainable solution," stated representatives of the IG Metall unions, as quoted by "Automobilwoche."
The works council also expressed their disappointment, significantly since employees helped maintain the company's economic stability by agreeing to defer salary payments.
"We are disappointed and feel let down by the management," said Frank Bokowits, chairman of the works council.
At this moment, the bankruptcy filing concerns only Recaro's automotive division. The company still produces car seats, office chairs, and airplane seats.
