The COVID-19 crisis has led to a doubling of restructuring job loss in the first half of 2020 compared to the rolling average. The labour market impacts have been highly selective, with two broad sectors – transport (including air transport) and hotels and restaurants – accounting for nearly half the overall announced job loss compared to less than 10% in ‘normal’ times. The new European Restructuring Monitor (ERM) report 2020: Restructuring across borders reviews recent restructuring activity in the EU, from January 2019 up to and including the first impacts of the COVID-19 crisis. It also presents an analysis of transnational restructuring cases – those that affect workers in more than one country.
Around 1 in 20 cases of large-scale restructuring are transnational, affecting activities in at least two countries, according to the report. The employment effects of such cases tend to be much larger and the restructuring processes longer and more complex. Large-scale transnational restructurings in the EU involve on average around 3,000 job losses.
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