Type
Internal restructuring
Country
France
Region
Est; Alsace; Haut-Rhin
Location of affected unit(s)
Rouffach
Sector
Manufacturing
Manufacture For Transport Equipment
Manufacture Of Motor Vehicles, Trailers And Semi-Trailers
29.31 - Manufacture of electrical and electronic equipment for motor vehicles

159 jobs
Number of planned job losses
Job loss
Announcement Date
29 October 2013
Employment effect (start)
1 January 2014
Foreseen end date
28 February 2014

Description

Automotive supplier Mahle Behr is to dismiss 162 employees in Rouffach, France. This measure is to include 104 factory workers and 27 managerial staff, amongst others.

The job cuts are due to the 162 workers’ refusal to sign an agreement to increase working time and freeze wages over 2 years in order to increase the company’s competitiveness. The agreement has been worked out in July earlier this year.

Job dismissals will be in accordance with the law on “securing employment” adopted in January 2013. Additionally to the legal minimum, dismissed workers are to be compensated with EUR 14,000 plus EUR 600 per year worked (EUR 900 per year worked with firm tenure over 30 years).

Mahle Behr employs about 17,000 staff in total. The company is a subsidiary of Mahle group, employing about 65,000 staff worldwide. In 2007, the company had announced up to 210 job cuts that were also to affect the site in Rouffach. 

UPDATE 18-12-2013:

After additional workers have signed the agreement with the company, the total number of dismissals is reduced to 159. All of these are to be dismissed. Furthermore, to compensate for the losses in staff, the company will be recruiting new workers and will propose job positions to the 270 employees of the Mahle Pistons site in Ingersheim (Haut-Rhin). The company had announced in June 2013 to close this site by March 2014.


Sources

  • 17 October 2013: L'alsace
  • 17 October 2013: AFP Liaisons
  • 17 October 2013: Dernières Nouvelles d'Alsace
  • 18 December 2013: L'usine Nouvelle

Citation

Eurofound (2013), Mahle Behr, Internal restructuring in France, factsheet number 76110, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/76110.