Kika/Leiner Bankruptcy: Impact on Employees and Austrias Furniture Market
Kika/Leiner Bankruptcy: Impact on Employees and Austrias Furniture Market The Austrian furniture chain Kika/Leiner closed its stores in January 2025, leaving 1,350 employees without jobs. Topics: News, Economy.
Kika/Leiner Bankruptcy: Impact on Employees and Austrias Furniture Market
In late January 2025, Austrian furniture chain Kika/Leiner announced the closure of its stores, leaving 1,350 employees without work.
Impact on Employees
Most affected employees had worked at the company for over five years. Due to long notice periods, final payments will only be made in summer 2025.
GPA union leader Michael Pieber called for a jobs fund to provide training, retraining, and job placement assistance for former Kika/Leiner workers.
Store Closures and Sales
With store closures, the company began selling off remaining stock, business equipment, and its vehicle fleet. Property owner Supernova plans to reclaim the premises for sale or long-term lease.
Causes of Bankruptcy
- Poor management
- Accumulated debts of around €139 million
- Intensified competition in the furniture market
- Failed restructuring attempts since 2023
What Happens Next
Unions and government should create funds and programmes to support laid-off workers with education and job placement resources.
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