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.
Manufacturing Manufacture Of Tobacco Products Manufacture Of Tobacco Products 12 - Manufacture of tobacco products
1,230 jobs Number of planned job losses
Announcement Date
4 April 2014
Employment effect (start)
1 May 2014
Foreseen end date
1 October 2014
Description
The US cigarette manufacturer Philip Morris has announced major restructuring at its plant in Bergen op Zoom with the loss of 1,230 jobs. According to the sources, the plant will close by October 1. The source reports that production will be transferred to other European factories in the group. The restructuring is a response to an increase in illegal trade and increased competition in the market. An additional 400 jobs held by workers employed by service providers at the plant are also at risk. The source reports that up to 2,000 jobs will be lost in the region as a knock-on result of the closure of the plant.
The ERM has also reported on restructuring at Philip Morris in Italy and worldwide in 2014.
Update 27-05-2014: According to the sources, employees of Philip Morris have planned strike action in response to the social plan offered to them by management.
Update 12-06-2014: After protracted negotiations and a three day strike, on 10 June 2014 a new social plan was reached. The sources report that union members voted to accept the plan on 12 June. According to the sources, employees who are made redundant will receive a significant severance package and the company will also operate a fund for training, to help employees find new employment. Additionally, workers who have disabilities will benefit from a special scheme for up to two years.
Sources
4 April 2014: nrc
27 May 2014: BN DeStem
16 April 2014: IUF (Press Release)
12 June 2014: Het Financieele Dagblad
Citation
Eurofound (2014), Philip Morris, Closure in Netherlands, factsheet number 77222, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/77222.
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