Polish furniture manufacturer Zorka, a long-standing supplier to IKEA, has announced layoffs affecting 132 employees, with further reductions expected. Notices were issued in January, and a total of 233 redundancies have been registered with the local employment office, with layoffs scheduled to continue until the end of June 2026.
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The company attributed the cuts to declining orders and a 43 percent drop in revenue in 2025. Despite a broad restructuring programme in 2024–2025, Zorka was unable to offset the financial impact of shrinking demand. The company, which has been producing furniture and components for over 70 years and collaborating with IKEA since the 1980s, is now evaluating additional measures to stabilise operations.
Zorka's challenges reflect wider difficulties in the furniture sector. Rising energy and material costs, falling European orders, and growing competition from Asia have contributed to industry-wide strain. Last year, Black Red White, another major Polish furniture producer, announced a workforce reduction of around 800 employees, highlighting the sector's ongoing adjustment to market pressures.
The situation underscores the vulnerability of suppliers heavily dependent on international clients in an increasingly competitive and cost-sensitive market.
Source: www.bankier.pl
