BASF’s transatlantic divide

How it’s going in the US:

[October 7]

Newsweek has announced its annual rankings for the Top 100 Most Loved Workplaces list, and BASF has ranked among these companies for the first time, coming in at #52.

“We are very proud to make this list because it is based on how our people feel about BASF,” said Tobias Dratt, President, Region North America, Chief Operating Officer and Chief Financial Officer, BASF Corporation.

“Reflecting employee feedback, Newsweek singled out the power of connection at BASF and the special communities we have built through our employee resource groups and other strong, caring, and connected networks. This recognition supports that our company values and commitments to safety, wellbeing, inclusion, and belonging have us well positioned to continue to attract and retain great talent as the core of our company.”

And how it’s going in Europe:

[October 12]

BASF Group releases preliminary figures for the third quarter of 2022 and announces cost savings program.

Against the background of significantly weaker earnings in Europe – especially in Germany, where earnings in the third quarter of 2022 were negative – as well as the deteriorating framework conditions in the region, BASF has initiated a cost savings program focusing on Europe and particularly Germany to be implemented from 2023 to 2024. Cost savings possible in the short term will be implemented immediately. Upon completion, the program is expected to generate annual cost savings of €500 million in non-production areas. More than half of the cost savings are to be realized at the Ludwigshafen site. Operating, service and research & development divisions as well as the corporate center are to be streamlined.

The cost saving plans were confirmed on Wednesday as BASF warned it would have to “permanently” downsize in Europe. The shares, down 1 per cent at the European close, have dropped more than a quarter so far this year.