The Swiss national rail freight operator SBB Cargo announced it will dismiss 80 full-time positions by the end of 2025. “The main reasons are cyclical in nature and are related to the further tightening of the economic situation: for SBB Cargo Switzerland, customers and also their transports have decreased”, the company said.
The positions removed will concern both operational and administrative personnel. SBB Cargo claimed that layoffs will be only the last resort, with most of the job cuts coming through transfers between other SBB companies or with retirements. “Most of the new hires in recent years have been in operational areas, such as locomotive and train crews, engineers, technicians, craftsmen and IT staff. Where jobs are no longer needed, SBB is reducing them”.
In the case of SBB Cargo, scarce demands and scarce results were at the root of this decision. In recent times, the rail freight operator has struggled to be profitable, recording losses of up to 42,6 million euros in the first half of 2024. One of the main causes behind the financial deficits is single wagonload services. Some are suggesting the creation of two independent entities within SBB to handle single wagonload, relying on government subsidies, and block trains separately.