Finance
Thyssenkrupp steel head puts restructuring costs at several hundred million euros
Published by Global Banking and Finance Review
Posted on December 3, 2025
2 min readLast updated: January 20, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on December 3, 2025
2 min readLast updated: January 20, 2026
Thyssenkrupp's restructuring will cost hundreds of millions, affecting 11,000 jobs. The company aims to reduce costs and production capacity.
BERLIN, Dec 3 (Reuters) - Thyssenkrupp's steel division head, Marie Jaroni, estimates a restructuring deal that will cut or outsource about 11,000 jobs will cost the company a three-digit million-euro amount, she told the Frankfurter Allgemeine Zeitung newspaper.
Thyssenkrupp Steel Europe (TKSE) said earlier this week that it had agreed with the IG Metall union to cut or outsource 40% of its workforce and reduce production capacity to a shipping level of 8.7 million to 9 million tons, from 11.5 million at present.
"The restructuring is costing us a mid-three-figure million euro sum. The exact amount depends on how many employees accept which offer," Jaroni said in an interview published on Wednesday.
This will pay off, she added, because the company will have permanently lower personnel costs, "a low three-digit million amount less annually than today," she told the newspaper.
Thyssenkrupp, which has for years tried to dispose of its steel business, in September received an indicative bid for from India's Jindal Steel International for TKSE.
Jindal Steel is currently carrying out detailed due diligence to assess whether to launch a formal binding offer for TKSE, Germany's largest steelmaker with sales of 10.7 billion euros ($12.46 billion) last year.
($1 = 0.8587 euros)
(Writing by Miranda MurrayEditing by Madeline Chambers)
Restructuring refers to the process of reorganizing a company's structure, operations, or finances to improve efficiency and adapt to changing market conditions.
Restructuring costs are expenses incurred during the process of reorganizing a company, which may include severance pay, legal fees, and other costs associated with layoffs or business changes.
Outsourcing is the practice of hiring external firms or individuals to handle certain business functions or processes, often to reduce costs or improve efficiency.
Workforce reduction is the process of decreasing the number of employees in a company, often due to financial constraints, restructuring, or changes in business strategy.
Production capacity refers to the maximum output that a company can produce within a given timeframe, often influenced by resources, technology, and workforce.
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