The Hyundai plant in St. Petersburg has begun notifying workers about upcoming changes to their employment agreements. The company is considering a significant reduction in staff during a planned period of operational standstill, with potential layoffs reaching as much as eighty percent. This move aligns with a broader phase of conserving the site while production is phased down.
Reductions are being processed under a schedule that sees terminations by agreement of the parties from January 16 to February 3, with dismissals slated from January 23 to February 17. The company is outlining the timelines to help employees plan their transition, though final numbers will depend on the capacity to meet the target staffing level established by the management team.
By February 20, if the workforce count has not yet reached the required level, additional dismissals will proceed under Russian labor law provisions. In communications with staff, the leadership indicated the shift is a direct response to disruptions in global supply chains that have limited access to essential auto parts, affecting production continuity and efficiency.
The terms for contract termination by mutual agreement will be communicated separately as negotiations with employees proceed. In all cases, the company aims to provide a fair, transparent process that supports those affected while safeguarding the long-term viability of the facility.
Management notes that employees will be compensated with twelve salary payments as part of the transition package, a measure designed to soften the impact of the workforce reduction and to acknowledge the contributions of the staff during the current period of shutdowns.
“Because production lines have faced ongoing stoppages, Hyundai Motor is implementing workforce optimization measures in Russia to align capacity with market conditions and supply realities,” the company’s press service stated.
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