Opel: Works council stops severance pay for Opel employees

After the takeover by PSA, Opel wants to save personnel. The group offers employees who voluntarily go up to 300,000 euros. The works council is blocking this.

Opel: Works council stops severance pay for Opel employees

The Opel works council has blocked 70 termination contracts of employees. The employees continue to be employed by Opel for time being. The background: Opel wants to dismantle PSA personnel after takeover by French car company. To do this, company wants to pay severance payments to employees who voluntarily leave company. The works council criticized this and prevented first issues.

The works council is opposed to severance program for younger employees because, from his point of view, reduction in personnel required for redevelopment could only be achieved with early retirement schemes and part-time retirement, works council and IG Metall argue. The employees do not want to accept cancellation contracts for time being, even because of a belated display of possible mass redundancies by company.

The severance payments for younger ones can reach up to 275,000 euros, depending on company's affiliation. There are also or premiums for a particularly quick farewell (at least 20,000 euros) and a remuneration for waiver of existing notice periods. Severely handicapped and parents of younger children can put on more lump sums, so that in many cases more than 300,000 euro gross is available.

Opel expects 1,000 severance claims

Opel sees refusal of employees to block a blockade that violates concluded company agreement. The works council is opposed to wishes of employees who have already addressed numerous complaints to Human resources department. The programme remains in force, however, and each case is individually clarified. Some employees would have left company in April. The reduction of personnel is part of restructuring programme of new Opel owner, French group PSA.

Controversial between parties is effect of various personnel reduction programs for still about 18,000 employees in Germany. Wolfgang Schäfer, chairman of Works council, wisely calculates with about 3,800 participants in early retirement and retirement part-time. According to Opel, this magnitude has not yet been achieved, so that additional incentives are needed. The company is talking about 1,000 of recent redundancy requests from younger employees.

The works council considers company to act without an overall conception and to accept almost every request for annulment. An Opel spokesman contradicts: "In our voluntary job-reduction programs, we ensure that all key positions remain occupied and that all areas remain fully functional in streamlined form – even with regard to long-term setting up Our company. "

Date Of Update: 03 May 2018, 12:02
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