Signify in Turnhout, formerly Philips Lighting, announced the layoff of 73 employees, with an additional 50 layoffs anticipated. This decision is attributed to the declining demand for traditional lighting as the industry shifts towards LED technology, reports 24brussels.
The restructuring primarily impacts the company’s 3D printing department, which will be entirely closed and its operations relocated to Poland. Signify indicated that the financial performance of this division did not meet expectations.
Peggy Schuermans from the ACV-CSC Metea union expressed surprise at the rapid pace of the decision, stating, “We knew the figures were poor, but no one expected a decision this quickly.” Trade unions have criticized the layoffs, demanding fair compensation and support for affected workers. Signify maintains that these changes are essential for maintaining competitiveness in a transforming lighting sector.
What will happen to Signify’s Turnhout factory after 73 layoffs?
Union representative Schuermans warned that further declines in production are expected, predicting more job losses in the future. She highlighted that stricter European regulations on conventional lighting and the global transition to LED products contribute significantly to the ongoing reduction in workforce.
“We know that our production will only continue to decline in the future, which will lead to the loss of even more jobs.”
This latest round of layoffs reflects a protracted trend at the Turnhout site, with job cuts occurring for over a decade. Currently, only 201 employees remain, but the workforce is expected to dwindle to around 80 by the end of next year. The factory retains a small unit focused on projector lamp production, one of the few remaining operational segments. The sustainability of this division is uncertain and might depend on market conditions.
“That market is declining less rapidly than the rest of the traditional lighting market; it will be the last division to survive,”
Schuermans commented, adding that while the Turnhout facility has a storied history in the lighting industry since the 1950s, the site has experienced significant challenges following a shift in focus after the 2010 European Union regulations phasing out traditional bulbs.
In 2016, Philips divested its lighting segment, which became Signify in 2018, emphasizing LED and smart lighting technology. Despite efforts to modernize with initiatives such as the establishment of a 3D printing unit in 2020, the plant has continued to face significant job losses amid diminishing demand for incandescent and fluorescent lighting products.