The job cuts, which account for almost 13 per cent of Heidelberg’s workforce, are part of the company’s ‘Focus 2012’ efficiency programme announced in November.

The aim of the programme is to achieve total sustainable savings of around €180m by the 2013-14financial. The cuts will entail up to €150m in non-recurring costs.

Commenting on the news, Andy Vels Jensen, managing director of Heidelberg ANZ told Australian Printer the programme’s effect on the local division is yet to be seen. He adds that in a best case scenario the ANZ business would not have to hand out any redundancies.

He says, “We have been making cut backs for the past three years. We haven’t just sat around waiting for an efficiency programme. Our division is quite lean and we have been adjusting our business model to rely more on the non equipment business.”

Jensen adds, “The market has fallen over in Europe, so it’s likely to have an effect on other parts of the world, but at the moment we don’t know what the effect will be. It’s tough going in the lead up to drupa.”

Also commenting, Bernhard Schreier CEO of Heidelberg says the ongoing economic uncertainties will continue to put a brake on the industry’s recovery.

He says, “We are seeing weaker demand in industrialized nations but stronger growth potential in emerging markets.

“Focus 2012 will position Heidelberg accordingly, above all by significantly reducing production capacities and by adjusting sales activities to the regional market changes. This will create the basis and efficient structures needed for profitable business development.”

Heidelberg’s incoming orders in the third quarter 2011-12 financial year fell by 4.2 per cent to €630m.

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