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European Companies Slash Jobs Amid Economic Uncertainty

Persistently weak demand and challenging economic conditions are driving job cuts and hiring freezes across Europe. Companies in diverse industries, from banking to manufacturing, are scaling back their workforce to navigate an uncertain financial climate.

Banking Sector Hit by Layoffs

Several European banks are adjusting to reduced profit margins and tougher competition. Norwegian bank DNB plans to eliminate 500 full-time positions, while Spain’s Santander will shed over 1,400 jobs in its UK operations. Italian lender UniCredit reached an agreement for 1,000 voluntary redundancies and plans to create 500 new roles.

Automotive and Industrial Cuts

The automotive industry has been particularly affected. French tire manufacturer Michelin will close two facilities, impacting 1,250 workers, while German car parts maker Schaeffler is laying off 4,700 employees due to sluggish demand. Similarly, Northvolt, a Swedish battery manufacturer, plans to cut 1,600 jobs.

Retail and Consumer Goods Struggles

Auchan, a major French supermarket chain, announced plans to cut over 2,000 jobs as customer traffic declines. Swedish garden equipment maker Husqvarna is cutting around 400 positions due to reduced consumer spending.

Telecom and Energy Challenges

The telecom sector is also under strain, with Swedish operator Telia planning to reduce its workforce by 3,000 in 2024. In the energy sector, Equinor, Norway’s oil and renewable energy giant, is trimming 20% of its renewable division staff, while Shell is reducing its oil and gas workforce by 20%.

Aerospace, Technology, and Beyond

Airbus aims to cut up to 2,500 jobs in its Defence and Space division by mid-2026, while Infineon, a German chipmaker, will eliminate 1,400 roles globally and relocate another 1,400 to lower-cost regions. Lufthansa is targeting a 20% reduction in administrative roles.

Other notable reductions include:

  • UPM: Mill closures in Germany and Finland will affect nearly 500 jobs.
  • SMA Solar: Plans to cut up to 1,100 jobs worldwide.
  • Mondi: Closure of a Bulgarian paper mill, affecting 300 workers.
  • Tamedia: Swiss media group cutting nearly 300 roles.
  • Syensqo: Belgian chemical producer reducing its workforce by up to 350 positions.

A Sign of the Times

These widespread layoffs highlight the pressing challenges companies face in a stagnant economy. As businesses restructure, the focus remains on adapting to market realities, managing costs, and positioning themselves for a more stable future.

Europe’s Deadly Summer Heat Exposed The Cost Of A Warming Continent

Europe experienced its deadliest summer for heat-related deaths on record in 2026, with an estimated 24,400 excess deaths linked to extreme temperatures across 30 countries. Researchers estimate that human-induced climate change was responsible for around 32,000 of the deaths attributed to heat in the study’s broader analysis, accounting for 65% of the total.

The findings highlight the growing public-health consequences of global warming, largely driven by fossil fuel use, as extreme heat becomes more frequent and severe.

A Summer Of Dangerous Heat

Between June and August, heatwaves pushed temperatures in Western Europe to an average of 2.9°C above the 1991–2020 norm, with some days reaching 12°C above average. Nearly a third of estimated heat-related deaths occurred during a particularly intense heatwave between 17 June and 1 July.

“These numbers are a stark reminder that our hotter, more extreme summers are having an increasingly severe impact on public health,” said Dr Clair Barnes, a researcher at Imperial College London and co-author of the study.

The estimated toll exceeded previous peaks of around 29,000 deaths in summer 2022 and 28,000 in 2003 across the region studied.

How Researchers Estimated The Toll

Researchers modelled the relationship between temperature and mortality across 854 urban areas in the EU, UK, Norway and Switzerland, covering around 40% of the population in the 30 countries studied.

The analysis incorporated temperature records, age, socioeconomic conditions, environmental factors and access to healthcare. By comparing actual temperatures with those expected without human-induced warming, the team estimated the additional deaths attributable to climate change.

Final official mortality figures for summer 2026 are not yet available in many countries, and heat-related deaths are often underreported because their effects can be difficult to identify directly.

Older People Face The Greatest Risk

People aged 85 and over accounted for roughly half of the estimated deaths. However, the impact extended across age groups, with around 800 excess deaths among adults aged 20–44 and approximately 6,000 among people under 65.

Southern Europe experienced the highest mortality burden, reflecting hotter temperatures and other vulnerabilities, including air pollution, limited green space and unequal access to healthcare and heat-alert systems.

Italy, France And Spain Record Highest Toll

Italy recorded an estimated 13,303 heat-related excess deaths, followed by France with 7,268 and Spain with 6,824. Germany recorded around 6,340, while the UK saw an estimated 4,354 deaths.

In the UK, the heat also placed significant pressure on healthcare services. Andrew Hartle, Professor of Practice of Anaesthesia at Imperial College Healthcare, said demand during the summer resembled that of a severe winter virus season.

Cities Urged To Strengthen Heat Protection

Researchers say cities can reduce the risks through climate shelters, external shading and building retrofits, alongside measures to help residents avoid exposure during the hottest hours. Checking on vulnerable people, staying hydrated and following heat alerts are also important.

The researchers stress that adaptation must go hand in hand with reducing fossil fuel use to limit further warming. The findings underline that extreme heat is already a major public-health threat across Europe, with thousands of lives at risk each summer.

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