· Discontinuation of assembly at the Winterthur location confirmed

· Reduction of 87 jobs

· Comprehensive social plan in place

Rieter announced its intention to discontinue the assembly of machines at the Winterthur location due to structural changes in the market situation. The consultation process with employee representatives was completed today, March 11, 2020. After intensive discussion and detailed examination of the submitted proposals, the discontinuation of assembly and the associated reduction of 87 jobs was confirmed.

The final position was communicated to the employee representatives and the Office for Economy and Labor of the Canton of Zurich. Rieter’s employees were informed of the result. The decision will be implemented gradually during 2020.

Rieter has a comprehensive social plan. The focus is on the reintegration of affected employees with the support of the Regional Employment Centre (RAV) as well as a job center and the avoidance of hardship cases. The company intends to reduce the headcount by means of workforce turnover and early retirement, however some layoffs will be unavoidable.