Swiss-based company Nord Stream 2, which is in charge of the gas pipeline project between Russia and Germany, has made employees redundant as a result of sanctions following Russia’s invasion of Ukraine.
This content was published on
2 minutes
Keystone-SDA/Reuters/ts, ug
Español
es
Sanciones a Rusia: Nord Stream 2 despide a más de 140 personas en Zug
More than 140 people have lost their jobs at the company, based in the Swiss town of Zug in central Switzerland, according to Economics Minister Guy Parmelin.
“We have learnt that all the staff of Nord Stream 2 […] in Zug, i.e. more than 140 people, have been made redundant,” he told Swiss public radio, RTSExternal link, on Monday evening.
The job cuts were confirmed on Tuesday by the company, which is also reportedly considering filing for insolvency.
A member of the Zug cantonal government told Blick television on Tuesday that Nord Stream 2 was bankrupt and had problems paying its debts. On Wednesday however, she clarified that no official bankruptcy proceedings had been initiated.
The move by Nord Stream 2 is apparently aimed at settling claims ahead of a United States sanction deadline for other entities to stop dealings with it.
The US sanctioned the company last week after Russia recognised two breakaway regions in eastern Ukraine prior to its invasion of the country. The attack has prompted a wave of economic sanctions by the West, including Switzerland.
More
More
Switzerland backs full EU sanctions against Russia
This content was published on
Switzerland has decided to adopt the full range of sanctions imposed by the European Union against Russia.
This restructuring follows the announcement by German Chancellor Olaf Scholz last week that the pipeline, now complete, would not go into operation after its certification was put on ice due to the war in Ukraine.
When contacted by RTS, the company did not respond.
The 1,200-km pipeline project under the Baltic Sea, designed to double the flow of Russian gas to Germany, was heavily criticised from the start. By bringing gas directly from Russia to Germany, the €10-billion project would have cut Ukraine out of the lucrative gas transit trade and deprived Ukraine of a lever against its hostile larger neighbour.
Critics said the pipeline, which was completed last September, was a political project designed to weaken Ukraine, though supporters, including the German government, said it was a purely commercial venture.
Nord Stream 2 would have run parallel to an existing gas pipeline, Nord Stream 1, which links Vyborg in Russia with Greifswald in northern Germany and has been operational since 2011.
More
More
The dark side of Zug’s Crypto Valley
This content was published on
What role has Switzerland’s Crypto Valley played in the Bitfinex cryptocurrency exchange scandal?
Swiss price watchdog slams excessive prices for generic medicines
This content was published on
The cheapest generic medicines available in Switzerland are more than twice as expensive as in other countries, according to a study by the Swiss price watchdog.
Nature should not figure in net zero calculations: academic study
This content was published on
The natural removal of CO2 from the atmosphere by forests or oceans should not be included in the net-zero balance of climate protection measures, argue researchers.
This content was published on
None of the 15 major Swiss retail banks is meeting international climate and biodiversity targets, according to a ranking by WWF Switzerland.
This content was published on
Nestlé's new CEO Laurent Freixe, has presented plans for the future of the world's largest food company, after his first few weeks in office.
Swiss foreign minister calls on Moscow to end Ukraine war
This content was published on
It's high time Moscow ended its war against Ukraine, Swiss foreign minister Ignazio Cassis tells the UN Security Council.
This content was published on
The only alternative to the UN Palestinian agency’s work in Gaza is to allow Israel to run services there, Philippe Lazzarini, UNRWA Commissioner-General, told reporters in Geneva on Monday.
Study reveals food culture differences between Switzerland and neighbours
This content was published on
Three-quarters of Swiss people consider eating to be a pleasurable, social activity, a new survey reveals. Healthy eating, however, plays a much less important role, it found.
Ukraine: What Swiss sanctions-busters need to consider
This content was published on
The Swiss attitude is similar to the one it took during the Second World War, the Cold War and Apartheid, writes lawyer Mark Pieth.
Ukraine: ‘A shock for the world, a disgrace for Switzerland’
This content was published on
Media are generally critical of the government’s stance on Russia. But some acknowledge it is walking a diplomatic tightrope, with potential benefits.
You can find an overview of ongoing debates with our journalists here . Please join us!
If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.