ASML workers still in uncertainty weeks after announcement of 1,700 job cuts

Weeks after ASML announced with its annual figures that it was going to lay off 1,700 employees, the chip machine maker’s workers still don’t know whether or not they will be affected. ASML told Omroep Brabant that it wants to quickly finalize the layoffs, hoping to reach an agreement with the trade unions by April 1. But the trade unions feel the company is trying to rush a reorganization, which they deem unnecessary to start with, given ASML’s plans to recruit 20,000 new workers in the coming years.

The uncertainty of the past weeks is causing unrest within ASML. “People simply don’t know where they stand. ‘What does this mean for me?’ they ask. We can’t answer that question on an individual level right now. It’s a very difficult situation for everyone, and it’s causing unrest, and we completely understand that,” an ASML spokesperson told the broadcaster.

The company announced the layoffs in January along with its annual figures, reporting a record turnover of €32.7 billion. ASML is reducing the number of management positions in its technology and IT departments, cutting 1,400 jobs in the Netherlands and 300 in the United States.

According to the company spokesperson, the job cuts are intended to reduce bureaucracy, responding to complaints from engineers. Some of the affected employees may be able to take on new engineering roles within the company, the spokesperson said. “We will do everything we can to keep that number as low as possible. But it will never be completely zero.”

The trade unions immediately criticized the layoffs, pointing out that ASML plans to expand significantly in the coming years. The Eindhoven city council this week greenlit the zoning plan so that ASML can build a second location, where some 20,000 new employees will work

According to the trade unions, ASML is trying to rush the reorganization process. An agreement by April 1 is “unrealistic,” FNV negotiator Peter Reniers told the broadcaster. “We still believe that the reorganization doesn’t need to be carried out this way. There’s no need to do this abruptly now. See where you can redeploy people within your organization and take your time.”

CNV negotiator Rémy Biesmans realizes the uncertainty must be difficult for employees, but he also doesn’t believe an agreement will be reached in the coming three weeks. “It’s a choice between evils. You can say now that we’re going to resolve something quickly, but then you don’t know if you’re agreeing on the right thing for those people. Our goal remains to avoid forced layoffs.”