German automotive seat supplier Recaro Automotive, known for their high-performance seats in vehicles from Ford, Volkswagen, and Aston Martin, has filed for bankruptcy. The news, confirmed on July 29th, came as a surprise to many, including the company’s employees.
Recaro’s history stretches back to 1906 when it began as Reuterr Carosserie, a coachbuilder for brands like Porsche and Volkswagen. In the 1960s, they shifted focus to seats, becoming Recaro in 1963. Their quality bolstering and safety features became a hallmark, with Recaro seats finding their way into high-performance models across various manufacturers. Additionally, Recaro offered aftermarket options for both racing and restoration enthusiasts, including FIA-approved racing seats and classic designs for cars like the air-cooled Porsche 911.
The news sent shockwaves through the company, particularly to the 215 IG Metall union members working at the factory in Kircheim unter Teck, Germany. “The workforce and we were not informed about the step and found out about it via the intranet,” said IG Metall boss Alessandro Lieb, according to German news outlet Süddeutsche Zeitung.
The filing at Esslingen District Court allows Recaro to continue operations under administrator supervision. This administrator will assess the company’s finances and management practices.
It’s important to note that this bankruptcy filing only affects Recaro Automotive. The separate Recaro Group, responsible for child safety seats, aircraft seats, gaming chairs, and stadium seating, remains unaffected.