Type
Internal restructuring
Country
Denmark
Region
Århus amt;
Location of affected unit(s)
Esbjerg, Skærbæk, Rødding, Horsens, Blans
Sector
Manufacturing
Manufacture Of Food And Beverage
Manufacture Of Food Products
10.11 - Processing and preserving of meat

580 jobs
Number of planned job losses
Job loss
Announcement Date
7 April 2010
Employment effect (start)
1 May 2010
Foreseen end date

Description

The Danish abattoir, Danish Crown announced on 23 March 2010 that around 600 employees would be fired 'in the near future' as a consequence of the newly signed collective agreement in the sector signed by the social partners in meat production, DI on the employer side and NNF on the employee side. Danish Crown had pressed the negotiators for a 'zero-solution', i.e. no wage increases, but the final agreement contained small wage increases. On this background Danish Crown declared that they would follow a plan B of the company's recently implemented 'scheme of surviving', DC Future, which imply lay-offs.

On 7 April the director of Danish Crown announced that 580 employees in five departments under the pork meat division will be made redundant on this account. According to the director the cutbacks cover streamlining, offshoring and normal adaption. The department in Esbjerg will loose 328 employees. The evening shift will be closed. Smaller reductions will take place in Horsens, Skærbæk and Blans. 192 employees in Rødding will as of now most likely be fired.

According to the union, NNF, they had demanded 'job guarantee' if the they agreed to a decrease at company level, but Danish Crown had not given any guarantees, they said. Furthermore, they argued, it is unheard-of that a large company threatens with offshoring and firings while the organisations are negotiating a renewal of the collective agreement in the sector. The negotiating employer organisation, DI, has not commented the case.    


Sources

  • 23 March 2010: Politiken
  • 7 April 2010: politiken.dk

Citation

Eurofound (2010), Danish Crown, Internal restructuring in Denmark, factsheet number 70371, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/70371.