Factory closures, layoff plans… The distributor Auchan and the automotive supplier Michelin together announced on Tuesday, November 5, more than 3,600 job cuts in France, causing sadness and anger among the employees concerned.
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Difficult day for employment France. On the one hand, the Michelin company, leader in tire manufacturing, announced this Tuesday the planned closure before 2026 of two industrial sites in the west of the country, in Cholet (Maine-et-Loire) and Vannes ( Brittany), concerning 1,254 employees.
On the other hand, the distributor Auchan, after several difficult years, plans to cut 2,389 jobs in France out of 53,000 in the country, notably through the closure of around ten stores.
Colossal financial losses at Auchan
These announcements are obviously of great concern », Reacted Tuesday the Minister of the Economy Antoine Armand. “ It’s catastrophic. This will leave many, many employees and families in difficulty. It’s shocking, scandalous », was indignant Franck Martineau, FO Auchan Retail union representative.
Management hopes to limit the number of redundancies via support for the employees concerned, retraining training, reclassification leave and voluntary departure plan.
Long considered one of the best-performing players in social terms within mass distribution, Auchan continues bad economic exercises. Its holding company Elo Groupe announced in July a net loss of almost one billion euros over the first six months of 2024.
Strike at Michelin
At MichelinCholet employees voted to strike and blocked the site shortly after management’s announcements. In Vannes, in western France, the announcement “ was greeted with great silence. Everyone blames the blow », Testified Éric Boisgard, employee since 2004 and former CGT union representative.
For the group’s first union, the CFE-CGC, these closures are “ a unilateral, brutal and poorly anticipated decision », Condemned its central union delegate José Tarantini, to the AFP. The CEO of the equipment manufacturer, Florent Menegauxjustified the closures by “ the collapse of activity » and promised that “ we will not leave anyone behind “.
It comes against a gloomy context for the entire European automotive sector, which is suffering from a sluggish market and strong competition from Asian brands. The CEO of Michelin also questioned a “ slow deterioration of competitiveness » of Europe, particularly linked to energy costs, which prevents exports. The group is also preparing the closure of two factories in Germany by 2025.
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