Konecranes confirms merger will lead to job losses

Konecranes has confirmed that there will be job losses as a result of its merger with Terex’s material handling and port solutions (MHPS) segment.

In a statement to shareholders, ahead of an emergency general meeting on September 15, the company said: “It is anticipated that there will be some overlap across certain functions within the organisation. While some reductions in personnel are likely in the short term, they will have to be assessed in the integration planning. The ultimate goal of this transaction is to generate growth and, along with it, new job opportunities.”

The company also outlined why it expects €140m (US$158m) of cost synergies per year within three years from the closing of the acquisition. “Synergies will come from procurement, including supply chain optimisation, insourcing/outsourcing and freight and logistics efficiency,” the company’s statement said.