Type
Relocation
Country
Spain
Region
Este; Cataluña; Girona
Location of affected unit(s)
Bonmati (Girona) and Olvega(Soria)
Sector
Manufacturing
Manufacture Of Material For Textiles, Apparel, Leather And Related Products
Manufacture Of Wearing Apparel
14 - Manufacture of wearing apparel

455 jobs
Number of planned job losses
Job loss
Announcement Date
3 June 2004
Employment effect (start)
3 June 2004
Foreseen end date
31 December 2004

Description

Levi Strauss, the multinational specialised in the manufacture of textiles, has decided to close the two production plants it has in Spain: Bonmati (Girona) and Olvega (Soria). The decision was announced on 3 June 2004 to the labour representatives. The plant in Girona employs 285 workers and the one in Soria employs 170 workers. The reason for the closure of both production plants was the high production costs of the Spanish production centres in comparison to other areas such as Africa or Asia.

The management and labour representatives have reached a final agreement for the dismissals of 453 of its workforce. The workforce from ages of 55 years or over will be subject to incentivised dismissals. The agreement includes as well the pay of 60 days per year of service with a maximum of 100,000 euros and a bonus of 6,000 to the workforce with less years of service.


Sources

  • 13 July 2004: El País
  • 3 June 2004: El País

Citation

Eurofound (2004), Levi Strauss, Relocation in Spain, factsheet number 60371, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/60371.