Opened in 2002, Martin's Frederikshavn facility was known throughout the industry as Martin's 'Happy Factory' - a sophisticated model of the ultra-efficient, intelligent, automated, staff-friendly industrial operation.
Lars Dige Knudsen, VP and general manager of Martin, says: "It has been some very tough considerations given Martin's history in this community and the goodwill we have enjoyed with our outstanding employees. Still, it was a necessary one to improve our leading position in an increasingly competitive marketplace. Importantly, the Martin Headquarters will remain in Aarhus and will become Harman's global Center of Competence within dynamic lighting solutions for the entertainment industry and architectural purposes."
Harman says its planned move to Hungary is part of a larger strategy to consolidate its European manufacturing operations across its four divisions. Harman has more than 20 years of manufacturing experience in Hungary and employs more than 2,200 people there. The new manufacturing site is expected to reach a staff of approximately 400 employees, once the existing production has been transferred.
Martin Professional has initiated formal negotiations with employee representatives (Workers Council) and the local Labor Market Committee has been informed. The manufacturing process in Frederikshavn is expected to run at full capacity for approximately the next six months, Harman says.
"In connection with the negotiations on the closure of the production facilities in Frederikshavn, our company will focus on securing our employees a fair retirement benefit plan as well as assistance to find other jobs," Lars Dige Knudsen states.
The final decision on the relocation is expected to be taken before end of August 2015.
(Lee Baldock)