Ergo Insurance

Type
Internal restructuring
Country
Belgium
Region
Région de Bruxelles-Capitale/Brussels Hoofdstedelijk Gewest; Région de Bruxelles-Capitale/Brussels Hoofdstedelijk Gewest; Arr. de Bruxelles-Capitale/Arr. Brussel-Hoofdstad
Location of affected unit(s)
Brussels, other locations
Sector
Financial / Insurance/ Estate
65 - Insurance, reinsurance and pension funding, except compulsory social security
65.1 - Insurance
65.1 - Insurance
200 jobs
Number of planned job losses
Job loss
Announcement Date
16 December 2016
Employment effect (start)
1 January 2017
Foreseen end date

Description

Ergo, a Belgian insurance company has announced restructuring plans with regards to its activities in Belgium - 200 white collar employees face the loss of their jobs as a result of cost saving measures. The company is phasing out its life insurance business which, due to low interest rates, is no longer sustainable. Union representatives indicate that they are pessimistic about the jobs of the remaining employees as well. As life insurance was one of Ergo's main products, the company is likely to struggle to be profitable in the future. In recent months several financial companies have faced layoffs for similar similar reasons, including: ING, P&V, Axa and Crelan.

Sources

  • 16 December 2016: De Morgen
  • 16 December 2016: De Standaard

Citation

Eurofound (2016), Ergo Insurance, Internal restructuring in Belgium, factsheet number 89640, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/89640.