Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Volvo Group announced 463 job cuts in its subsidiary Renault Trucks SAS. 439 job cuts concern the Lyon plant and R&D department (Vénissieux/Saint-Priest) which has 4,000 employees. 24 job cuts are planned at the Bourg-en-Bresse plant. In Lyon, white-collar workers are mainly concerned, particularly in the Research and Development sector, even though a project for a new R&D centre was announced for 2021.
'The economic crisis caused by COVID-19 will have a strong and lasting impact on Renault Trucks' results', explains the management. The company is expecting 'a significant drop in the truck market in 2020', and an economic situation 'which will not return to pre-crisis levels in the short and medium term'.
The FO trade union estimates that 'the Volvo group is using the health and economic crisis to clean up the company while the group is experiencing a profitability of more than 10% and the dividends to shareholders have been multiplied by 3'.
The restructuring is part of a broader plan announced by the parent company, Volvo Group, which announced on Tuesday that it intends to cut 4,100 jobs around the world in the second half of 2020, again with the aim of preserving the personnel working on the assembly lines.
The last recorded restructuring was announced in 2015 (591 positions cut ). In March 2017, Renault Trucks announced 273 job creationsincluding 100 at its Blainville-sur-Orne site. In January 2018, the company announced 100 job creations in 2018 and 2019 in its plant of Blainville-sur-Orne (Calvados).
Eurofound (2020), Renault Trucks, Internal restructuring in France, factsheet number 100959, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/100959.