Luxembourg Plant Closure: Over 100 Workers Face Layoffs as Indorama Signs Severance Deal
Published on 07/24/2026 at 19:43 | Redaktion boerse-global.de
More than 100 employees at Indorama’s Steinfort facility in Luxembourg will lose their jobs after unions and management finalised a social plan on 22 July 2026. The agreement, signed by the OGBL and LCGB trade unions alongside the works council, sets out the terms for the workforce’s departure following the industrial group’s announcement in early July that it would shutter the site.
The package includes statutory redundancy payments and a strong focus on helping workers find new roles. Provisions for vocational training, retraining, and a targeted outplacement programme aim to ease the transition for those affected. A follow-up committee will be set up to monitor how these measures are implemented over the coming months.
Indorama’s decision to close the Steinfort plant stems from intense market pressures in Western Europe. The company pointed to fierce competition from Asia, which has squeezed profit margins across the region. A key factor was the site’s heavy reliance on a single customer, Longlaville in France. That facility shut down in May 2026, stripping the Steinfort plant of its main economic justification. Indorama, a global conglomerate operating in more than 30 countries, reported revenue of nearly €12 billion in the 2025 financial year.
Union representatives voiced sharp criticism of the closure despite reaching the social plan deal. OGBL and LCGB leaders said they regretted the end of production in Steinfort, calling the move a strategic choice that undermines Luxembourg’s industrial base. Industry observers describe the shutdown as the most significant industrial contraction in the country since the TDK plant closed in 2007. With negotiations over the social plan now complete, worker representatives are turning their attention to ensuring the support measures deliver for the more than 100 people who will lose their jobs.
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