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.
ITP Aero, aeronautical and industrial engines manufacturer company subsidiary of Rolls-Royce, has announced a collective layoff plan, affecting 4,000 workers in various countries, 600 of them in Spain (15% of the workforce). More than half of those affected employees are in factories of Bizkaia, Basque Country (194 dismissals) and Alcobendas, Madrid (125 dimissals). The company argues that it is a necessary measure considering the economic collapse of the aeronautical sector due to the COVID-19 crisis.
The ELA-STV union called a strike at the Zamudio factory on September 22 and 24 in rejection of this plan. This announcement comes at the same time the group Rolls-Royce (owner of the firm) is developing an international divestment plan to generate revenues of more than €2,200 million, including the sale of ITP Aero.
Update 20/10/20:ITP Aero and unions UGT and CCOO have reached a preliminary agreement for the restructuring in the plant of Zamudio (Vizcaya): 121 dismissals for temporary employees and 42 early retirements for 58 years older workers, with a supplement of 85% for salaries below €50,000 gross, and 75% for those who exceed that figure. The initial figure for job cuts in the Basque country was 194 and is now 163.
Moreover, company and unions have also agreed a temporary layoff plan for the entire workforce over a period of 14 months until 31 December 2021. ELA, the majority union in the works council of the Zamudio plant, has rejected this preliminary agreement because it reduces the workforce.
Eurofound (2020), ITP Aero, Internal restructuring in Spain, factsheet number 101921, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/101921.