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Manufacturer confirms closure of refrigerator unit in Hungary by 2026, while negotiating in Italy a plan that threatens 1,700 jobs and a hood factory, with no impact announced in Brazil so far officially
Electrolux closes refrigerator factory in Hungary by the end of 2026 and negotiates a restructuring that could close another unit in Italy. The two processes involve about 2,300 workers, but only the Hungarian closure is confirmed. There is no similar announcement for Brazilian factories.
Electrolux closes refrigerator unit in Hungary
Electrolux confirmed that it will end production at the Jászberény unit in Hungary by the end of 2026. The factory produces built-in and standalone refrigerator models.
The measure could affect approximately 600 employees. During the process, workers may be included in layoff programs, transfers, or other solutions negotiated by the company.
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According to the manufacturer, the decision is part of a strategy to reduce costs and adapt to the behavior of the European home appliance market.
The company pointed to stagnant demand, price pressure, and difficulties in maintaining the competitiveness of the industrial operation in Jászberény.
After the closure, the demand for refrigerators will be met by other Electrolux factories and external suppliers. Commercial and marketing activities will be maintained in Budapest, the capital of Hungary.
The reorganization is expected to generate an expense of approximately 600 million Swedish crowns. The amount is related to the costs of the operation’s restructuring process.
Plan in Italy puts 1,700 jobs at risk
In Italy, the situation is still not defined. According to unions, Electrolux has presented a plan to eliminate approximately 1,700 jobs and close one of its five factories in the country.
The threatened unit is located in Cerreto d’Esi and produces kitchen hoods. The positions included in the plan represent more than 40% of the approximately 4,500 workers maintained by the company in Italian territory.
The announcement provoked a reaction from the unions, which called for strikes and requested government intervention.
Worker representatives also began advocating for alternatives capable of keeping the factory operational.
The Italian government started monitoring the negotiations and asked Electrolux to suspend the immediate execution of the plan.
In June, the company agreed to temporarily halt the restructuring. The suspension opened a new negotiation period between the government, unions, and company representatives.
The interruption, however, does not represent the definitive cancellation of the cuts. Electrolux may still modify, abandon, or resume the plan after the meetings.
For now, the Cerreto d’Esi factory continues to operate. The 1,700 jobs remain included in the presented proposal, but the final number will depend on the outcome of the negotiations.
Restructuring involves up to 2,300 workers
Combined, the processes in Hungary and Italy could affect approximately 2,300 workers. The total includes the 600 employees of the Hungarian unit and the 1,700 positions included in the Italian plan.
This does not mean, however, that 2,300 people have already been dismissed. The closure in Hungary will occur gradually, while the Italian proposal remains suspended and under discussion.
The company may adopt transfers, voluntary redundancy programs, incentivized retirements, compensations, or other alternatives defined in local agreements.
Electrolux attributes the changes to weaker demand, pressure on prices, and increased industrial costs. The company also intends to concentrate production in units considered more competitive.
The strategy may involve own factories and outsourced suppliers, responsible for completing the necessary product volume after the reorganization.
Brazilian factories are not part of the announced plans
Despite Electrolux’s presence in the national market, the two units involved are in Europe. The company has not announced the closure of Brazilian factories related to the Hungary and Italy plans.
In Brazil, the company sells refrigerators, stoves, washing machines, vacuum cleaners, air conditioners, and other appliances.
European announcements, therefore, do not confirm the closure of national operations. The measures disclosed so far are restricted to the Jászberény factory and the possible restructuring of Cerreto d’Esi.
In Hungary, the company is expected to organize the gradual transfer of production until the end of 2026 and negotiate conditions for employees.
In Italy, the government, unions, and Electrolux will continue to seek a solution for the factory and the jobs included in the plan.
One unit already has a confirmed closure, while the second remains under negotiation.
This article was prepared based on information from the Portal Tempo Novo and the base material provided, with data, numbers, and statements preserved as per the consulted content.
