German steelmaker Thyssenkrupp Steel has announced that it has concluded a collective restructuring agreement with the IG Metall union and employee representatives, marking a decisive breakthrough in the company’s multi-year transformation program.
The agreement covers the reconciliation of interests, a social plan, and several company-level arrangements that will guide restructuring through September 30, 2030.
The deal removes the final barriers to implementing Thyssenkrupp Steel’s long-planned industrial concept and provides a binding framework for restructuring measures and workforce adjustments.
Industrial concept sets the foundation for major changes
Thyssenkrupp Steel’s industrial concept forms the backbone of the agreement. It includes:
- a market-driven reduction of production capacity to 8.7-9 million mt of shipped steel,
- elimination or outsourcing of around 11,000 jobs,
- a portfolio of investment projects, including the new direct reduction (DRI) plant now under construction in Duisburg.
Implementation of the restructuring program begins immediately, with the company aiming to quickly improve efficiency, lower costs and strengthen long-term competitiveness. Despite the cuts, Thyssenkrupp Steel emphasized that its long-term goal remains carbon-neutral steel production.