Logistics company Kuehne + Nagel could cut more than 20,000 jobs, with warehouse workers likely to be the most affected, as the damage caused by the coronavirus to the global economy has severely affected shipping, said a shareholder holding a controlling stake in the company, Klaus-Mikael Kuhne, quoted by Reuters.
The Swiss company, which employs 83,000 people, is likely to lay off workers in countries such as the United States, which, unlike some European countries, does not have a part-time system to prevent mass layoffs, Kuhne said in an interview with Die. World.
According to him, the slowdown in globalization has already started a trend towards reorganization.
“The group may be left with 20-25% fewer workers than before the crisis,” Kuhne said, adding: “We will come out of the crisis smaller.”
The result in 2020 will definitely be worse than a year ago, said Kuhne, emphasizing that no one knows how long the crisis will last and how deep it will be. The company has already abandoned its dividend.
“Moments of truth come from April to June,” he said. “The volume of transport has decreased significantly. The crucial question is whether the world economy will begin a gradual recovery in June, “Kuhne added.
He expects economic output to remain below pre-pandemic levels for years to come.
According to him, China is unlikely to emerge weakened from the crisis, although it is from this country that the coronavirus began to spread.
“This crisis was started due to negligence in the supply of Chinese food. It’s amazing to me that such primitive conditions still exist, “Kuhne said, adding:” Yet China, with its willingness to invest in projects like One Belt, One Road, has incredible power. I wish we had a strong United States as a counterweight, but they are badly run by Donald Trump. However, this can be an opportunity for a strong, courageous Europe. ”