Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
ECCO, a Danish footwear manufacturer, is closing its production facility in Martin, Slovakia, resulting in the loss of more than 600 jobs. The company, which has operated in the region for over 25 years, informed its employees of the decision earlier this month, leaving many in shock.
According to ECCO representatives, the primary reason for the closure is the steep increase in production costs in Slovakia, particularly wages, which have become uncompetitive compared to other regions. Rising energy prices and the costs of materials and logistics also contributed to the decision.
The layoffs will affect nearly all employees at the site, many of whom have worked at the factory for decades. The company has stated it will comply with all legal obligations, including severance pay.
The local job market is expected to struggle to absorb such a large number of unemployed workers. Some nearby companies have expressed interest in hiring, but opportunities remain limited.
ECCO’s departure comes as part of a broader trend of foreign investors reevaluating their presence in Slovakia due to increasing operating costs.
Eurofound (2025), ECCO Slovakia, Closure in Slovakia, factsheet number 202666, European Restructuring Monitor. Dublin, https://dev.eurofound.europa.eu/restructuring-events/detail/202666.