Zalando to close large logistics centre in eastern Germany

German clothing giant Zalando has announced that it will close its logistics centre in Erfurt, the company’s only large logistics centre in eastern Germany.

Zalando to close Erfurt logistics centre

Zalando has announced that it will close its only large logistics centre in eastern Germany. Around 2.700 employees who work at the centre in Erfurt, Thuringia, will be affected by the decision, which the company called “difficult, but necessary”, according to a report by Tagesschau. 

Zalando said it planned to “optimise the market chances available”. The online clothing company purchased another online retailer, About You, last year and is now planning to reorganise its European logistics network.

The retailer, which was founded in Berlin in 2008 and valued at 6,67 billion euros, has offered affected employees jobs at another of the company’s large logistics centres, but each site is far from Erfurt. A new logistics centre under construction in Gießen, for example, is over 200 kilometres away.

Zalando in discussion with works council

According to Zalando press spokesperson Christian Schmidt, the company is now in discussion with representatives of the employees’ works council. In an interview with the Frankfurter Allgemeinen Zeitung, co-CEO David Schröder said the company’s “main goal” was that as many employees as possible would find a new job.

Schröder said bosses would discuss with the works council how the company can financially support employees who will potentially be made redundant and said it was willing to make a “significant contribution," but didn’t give further details.