Reports from Austria have revealed that KTM's workers will not be paid over Christmas.
KTM's workers will not be paid in December, reports from the Upper Austrian Chamber of Labour have announced.
The Austrian manufacturer had promised a 90 per cent advance on December's pay to its employees. However, KTM has now backtracked on that promise, reportedly they will not pay the salaries of their employees until 2025.
“Before Christmas, KTM wanted to transfer a 90 percent advance of December wages and salaries to the employees,” a statement from the Upper Austrian Chamber of Labour reads.
“This had been assured to the employees. However, nothing will come of it now!
“The insolvent company from Mattighofen is apparently unable to carry out the promised transfers.”
President of the Upper Austrian Chamber of Labour, Andreas Stangl, added: “Now the November wages and salaries as well as the Christmas bonus have not been paid. And now, shortly before Christmas, this news!
“There is simply no more handshake quality in the management of KTM.
“We as the Chamber of Labour will definitely do everything we can to ensure that employees receive their outstanding claims via the insolvency remuneration fund as quickly as possible.”
A joint statement from the chairmen of the PRO-GE and GPA unions, respectively Reinhold Binder and Barbara Tieber adds: “The fact that, contrary to the company's promises, the outstanding wages and salaries will not be paid out before Christmas is like a slap in the face of those affected.
“They are now paying the bill for apparently misguided management decisions.
“It will certainly still have to be examined in detail how such a dramatic situation could have come about and who is responsible for it.
“We will now do everything we can to ensure that employees quickly receive their claims from the insolvency remuneration fund and will accompany them through these difficult days and weeks.
“The example of the KTM insolvency shows once again how important this fund, which is financed from the so-called non-wage labour costs, is for affected employees.”
