Major Job Cuts at Swiss Energy Provider

Swiss energy provider Groupe E has announced a significant workforce reduction of 188 positions, representing approximately 7% of its total 2,600 employees. The announcement comes as part of a major restructuring initiative following declining operational performance in 2024. In a parallel development, the company's Managing Director, Michel Beaud, will step down from his position after serving more than three decades with the organization.

The restructuring decision comes amid challenging financial circumstances for Groupe E. The company reported a 4.2% decline in sales to CHF1.1 billion in 2024, while operating performance (EBIT) fell to CHF12 million, CHF6.6 million lower than in 2023. The company has been particularly affected by a marked decline in sales of photovoltaic panels and heat pumps since 2023, along with profitability issues in major projects. Net profit decreased by 11.8% to CHF85 million, though this was partially offset by a CHF55 million contribution from EOSH Holding.

Groupe E has committed to implementing a comprehensive social plan in collaboration with key stakeholders, including the Syna trade union and staff committees. The consultation procedure began in April 2025 and will continue until mid-May 2025, with job cuts expected to be implemented during 2025 or early 2026. The company has emphasized its commitment to ensuring a fair and respectful transition, including active support for affected employees in their job search efforts.

The restructuring will have a significant regional impact, affecting operations across multiple Swiss cantons including Jura, Neuchâtel, Vaud, Fribourg, Valais, and the Bernese Jura. While the company anticipates negative performance impacts in 2025 due to the restructuring, it projects improved profitability from 2026 onward. The reorganization aims to create a more agile Technical and Infrastructures Division (DTI) and better position the company to meet customer expectations. Despite current challenges, Groupe E's cash flow showed a significant increase of 57.4% to CHF170 million, demonstrating its continued capacity to finance energy transition investments.