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Like Musk, Potash Firm K+S is Troubled by German Worker Sickness

(Bloomberg)

(Bloomberg) -- Elon Musk isn’t the only one noticing that staff in Germany are calling in sick more than usual.

Agricultural-chemicals group K+S AG expects full-year Ebitda near the low end of a previously-guided range after it tweaked its sales-volume forecast, in part due to illness among workers.

K+S’s difficulties echo September’s comments by Tesla Inc. Chief Executive Officer Musk, who said he was looking into high rates of absenteeism at the electric vehicle maker’s lone car plant in Europe. Companies in Germany have been tackling soaring staff absences in the wake of Covid.

“The adjustment in sales volumes is due to production bottlenecks, particularly caused by an above-average sickness rate,” K+S said in its third-quarter earnings report. 

The firm is advising staff to wash their hands regularly, eat healthily, and take part in sports, in order to reduce their chances of getting sick, a spokesperson added by email.

 

K+S shares fell as much as 2.9% on Thursday before trimming the drop, with softer potash prices also weighing on the firm’s earnings.

Citigroup Inc. analyst Sebastian Satz said in note that the guidance downgrade wasn’t reflective of demand, and that the high illness rate won’t have “meaningful ramifications” for 2025.

Read: Sept. 12, Sick Man Germany Resorts to Bonuses for Turning Up: Chris Bryant

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