What Did Siix Hungary Kft. Just Do?
Well, folks, grab your tissues because it seems Siix Hungary Kft. is throwing in the towel in Nagykőrös. Yes, you heard me right! A factory devoted to producing industrial and automotive electronic components is packing up faster than my will to stick to a diet in January. According to the local mayor—who I’m sure is having a whale of a time on Facebook—Attila from Körtvélyes broke the news to the townsfolk. You know, the usual “don’t worry, we’ll plan an action” type of floundering that’s about as reassuring as telling someone their Tinder date has *some* good qualities.
Now let’s rewind to 2016 when this factory was built with a hefty investment of HUF 6.4 billion. Apparently, it’s a bit like a teenage rebellion; all the backing in the world, but still managed to sulk in the corner, not operating for a decade. That’s right, ten years of not quite getting out of first gear. It’s kind of like that one mate who keeps telling you they’ll drop the pounds but is more committed to their takeaway order.
- First, they scored a sweet HUF 1.3 billion in non-refundable support. Think of it as getting the latest smartphone, but only using it to make calls…to the takeaway.
- In 2018, the generosity continued with interest subsidies from the Ministry of Foreign Affairs and Trade. It was like the Hungarian government threw them a lifeline, which they promptly used to make a noose instead.
- Fast forward to 2020, and they bagged HUF 282 million in competitiveness support—because who doesn’t want to be competitive in a game where you’re already losing?
Now, Péter Szijjártó, the Minister of Foreign Affairs, stepped up to mention they protected 566 jobs. And yet, here we are, with the factory deciding to go “liquidation”—which is not a new skincare trend but rather a “let’s close down the whole operation” situation. The strategy review concluded they’d rather throw in the towel than continue competing with their Slovakian subsidiary, which will now operate with expanded capacity. So we can comfortably say the company’s strategy might benefit from a *Bit of a rethink, shall we*?
Current data indicates they employed 333 people; that’s quite a crowd for a party that’s shut down, debt-ridden by over HUF 5 billion, and lost more than a billion each year since 2019. It’s sort of like showing up to a party where only the pizza is left, and it’s cold.
And now, as the announcement echoes through Nagykőrös, the mayor’s plan makes me think about all those poor souls affected. They need a solid strategy to find new jobs—fast. It’s heartwarming, really. But I wonder, will the action plan come equipped with snacks, or just a lot of platitudes? Because if it lacks warmth, it could be as welcome as a rainstorm at a BBQ.
In summary, Siix Hungary Kft. looks like they’ve taken one step forward and twelve steps back. So, if you’re a local looking for a job, best keep your ears perked—because the action plan better deliver some good news, or we’ll all just be standing around like lost tourists in a Beijing subway.
Siix Hungary Kft. has announced that it will cease operations in Nagykőrös by March 31 of the upcoming year, as revealed by the local mayor, Attila from Körtvélyes, in an urgent Facebook communiqué addressing the impending factory closure. The mayor emphasized the municipality’s commitment to swiftly developing a comprehensive action plan aimed at assisting the factory’s employees in securing new job opportunities as expeditiously as possible.
The Hungarian branch of the Japanese firm has faced significant operational challenges, remaining inactive for a decade despite the establishment of its factory in 2016, which involved an investment of HUF 6.4 billion, supported on multiple occasions by the Hungarian government. Initially, the company was granted HUF 1.3 billion in non-refundable financial assistance, followed by additional aid in 2018 in the form of interest subsidies facilitated by the Ministry of Foreign Affairs and Trade. Moreover, in 2020, Siix Hungary Kft. received HUF 282 million aimed at enhancing competitiveness, an announcement made by Minister Péter Szijjártó during a critical period marked by the economic strains of the coronavirus pandemic. Szijjártó stressed the importance of preserving employment, stating, “we don’t need aid, indebtedness, or vulnerability, but jobs,” as he highlighted Siix among companies the government was supporting to protect 566 jobs with a total of HUF 779 million in subsidies allocated across three firms.
As per data from Opten, the company currently employs 333 individuals. Despite this, Siix Hungary Kft. has encountered substantial financial difficulties, reporting a staggering loss exceeding HUF 5 billion last year, with cumulative losses since 2019 consistently surpassing HUF 1 billion annually, indicating a chronic inability to achieve profitability.
The board of directors reached the decision to initiate liquidation on Friday after conducting a thorough assessment of the company’s European strategy, which was subsequently communicated through an official information release. This review, reported by hvg.hu, identified the prevailing macroeconomic conditions as a principal factor contributing to their decision-making process. Consequently, production operations are set to be transitioned to their Slovakian subsidiary, which will undergo capacity expansions and improvements in efficiency to sustain production needs.
**Interview Title: Facing the Closure of Siix Hungary Kft. – An Insight into Upcoming Challenges**
**Interviewer:** Good morning, everyone. Today, we’re diving into a pressing issue affecting the community in Nagykőrös, where the local factory, Siix Hungary Kft., is set to close its doors by the end of March next year. Joining me is the local mayor, Attila from Körtvélyes, to shed some light on this situation. Thank you for being here, Mayor.
**Mayor Attila:** Good morning, and thank you for having me.
**Interviewer:** First off, this news has come as quite a shock to many residents. Can you describe the feeling in the community right now?
**Mayor Attila:** Absolutely. The announcement has certainly caused concern among our residents, especially those who are employed at Siix. Many are feeling anxious about their future job prospects and how this will impact their families.
**Interviewer:** Understandable. The factory has been inactive for a substantial part of its existence since it opened in 2016. What do you think went wrong?
**Mayor Attila:** It’s a complex situation. Despite significant initial investments and government support, including over HUF 1.3 billion in non-refundable assistance, Siix struggled to establish a successful operational model. Even with support, the factory failed to adapt and compete effectively, particularly against its subsidiary in Slovakia, which is now set to expand.
**Interviewer:** You mentioned an action plan to help those who will be affected by this closure. What does that entail?
**Mayor Attila:** We are committed to developing a comprehensive action plan that will assist the employees of Siix in finding new job opportunities. We’re working closely with local businesses and employment agencies to ensure that we can provide retraining options and job placements as soon as possible.
**Interviewer:** Are there any immediate steps the municipality will be taking to address the job losses?
**Mayor Attila:** Yes, we’re organizing a job fair aimed specifically at the displaced workers. Additionally, we’re in talks with companies in nearby regions to explore potential employment opportunities. We know time is of the essence, and we want to support our residents swiftly.
**Interviewer:** It sounds like you have a plan in place, but with Siix being in such financial trouble – over HUF 5 billion in debt – what can the community realistically expect moving forward?
**Mayor Attila:** It is a challenging situation, and we recognize the urgency of these job losses, particularly after the factory’s decade-long stagnation. However, we have a resilient community, and I’m optimistic that with the right support and resources, we can turn this situation around for affected families.
**Interviewer:** Mayor Attila, thank you for sharing this critical information and your plans with us today. We hope to see positive developments for the community as you work through these challenges.
**Mayor Attila:** Thank you for having me. We’ll keep residents updated as our action plans are implemented, and I encourage everyone to stay hopeful.
