Who’s next? Giant battery factory in Hungary lays off hundreds of foreign workers

Starting at the end of August, SK On Hungary will lay off several hundred foreign guest workers from its battery plant in Iváncsa following the completion of one of the company’s latest manufacturing projects. According to the South Korean conglomerate, the decision does not affect employees on the company’s payroll, and operations at the plant will continue uninterrupted.

Major project completed

SK On, one of the world’s leading electric vehicle battery manufacturers, recently wrapped up its latest domestic production project in Iváncsa. The company said the temporary contract workers are no longer needed and, as a result, contracts with a few hundred guest workers will be terminated, Index has learned.

Péter Kósa, HR Director of SK On Hungary, emphasised that the move will not affect the company’s own staff and that production at the plant will continue as planned. The company added that all employees, labor unions, and staffing partners were informed of the decision in accordance with legal requirements.

Fluctuations typical in the industry

Staffing firms and industry experts say it’s common practice for factories to adjust the number of guest workers they employ based on the status of their ongoing projects. “During investment or installation phases, the number of foreign workers can rise significantly, but after project completion, the demand quickly drops,” explained Róbert Csákvári, managing director of staffing agency Work Force.