Linz-based Austrian steelmaker Voestalpine AG is to cut work hours for 5,900 employees, expanding a previously announced reduction in a bid to cut costs.
Accordingly, the affected workers will move to part-time status starting May 1 and running through October 31.
Voestalpine spokesperson Gerhard Kuerne said, "Further steps have not been ruled out," adding that the company is doing everything possible to avoid layoffs.
In January, Voestalpine announced that it would move about 10 percent of its 42,000 employees to part-time.
On the other hand, Voestalpine expects a trough in the steel market this summer, with a difficult 12 to 18 months ahead.
Voestalpine CEO Wolfgang Eder told journalists in a briefing, "We think there will be a trough over the summer, but this will last until the summer of 2010. In the second half of 2010 we see the possibility that economic growth will start to pick up again."