LUSA 10/30/2025

Lusa - Business News - Portugal: Bosch factory to lay off 2,500 workers for six months

Lisbon, Oct. 29, 2025 (Lusa) - The Bosch factory in Braga will go into layoff from November until "presumably" April 2026, a decision that will affect 2,500 workers due to a shortage of components for electronic parts, the company announced on Tuesday.

"Due to the shortage of components for electronic parts and the recurring interruptions in production, the “lay-off” mechanism established in the Labour Code will come into force from the beginning of November until, presumably, the end of April 2026," the company said in a statement.

The lay-off consists of the temporary reduction of normal working hours or suspension of employment contracts carried out on the initiative of companies, for a certain period of time, due to market reasons, structural or technological reasons or catastrophes or other events that have seriously affected the company's normal activity.

Around 2,500 employees will be affected by the suspension of labour contracts and/or reduction of hours.

The company said it was doing everything it could to serve customers and avoid or minimise production restrictions, for example by using alternative sources of supply.

Bosch also said that as soon as the shortage of electronic components is overcome, "production in Braga should return to normal".

On 25 September, equipment manufacturer Bosch announced plans to cut more than 13,000 jobs in Germany by 2030, arguing that labour is underused amid Chinese competition, prompting criticism from trade unions.

The plan, quoted by Agence France-Presse (AFP), more than doubles the estimate released in November, when Bosch said it intended to cut 5,550 jobs by 2030.

The plan is expected to affect around three per cent of the world's workforce and will hit the automotive division, which is forced, according to the group, to reduce its costs by €2.5 billion a year in order to ensure its competitiveness.

PE/ADB // ADB.

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