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Truckmaker MAN to shorten hours of up to 11,000 workers on Ukraine crisis -Breaking

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© Reuters. FILE PHOTO: Visitors stand at the booth of Volkswagen’s truck unit Traton Group, former Volkswagen Truck & Bus AG, in Hanover, Germany September 19, 2018. REUTERS/Fabian Bimmer/File photo

BERLIN (Reuters), – Traton, a German manufacturer of commercial vehicles, has announced that its MAN unit will reduce the work hours of up to 11,000 German workers as the conflict in Ukraine creates what the company called “massive” shortages.

Russia’s invasion in Ukraine caused a shortage wire harnesses. These bundles can hold up to 5km (3.1 miles) of cable and are specific to each car. This has led to an economic downturn.

“This is a threat to truck production for many weeks and a huge reduction in production at the second quarter,” MAN announced in a statement Wednesday.

MAN stated that production at the truck plant in Munich and Krakow has been stopped since March 14. It has also experienced significant downtimes at Nuremberg and Salzgitter.

MAN claimed that duplicates of Ukrainian supply infrastructures for wiring harnesses to trucks in other countries would require several months.

In addition, it has decided to stop spending on non-business-critical activities and implement a hiring freeze.

MAN extended the working hours of Munich, Nuremberg and Salzgitter, as well as their extension to encompass administration.

This means that 11,000 MAN employees can go to short-term work at peak in Germany,” the statement said. It also stated that regulations specific to each country would be applied to foreign employees.

Customers have the option to cancel orders if MAN is unable meet their delivery dates. It also stated that customers can place new orders.

MAN stated that the shortages in supply did not affect its bus production.

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