Restructuring events
European Restructuring Monitor (ERM)
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.
In March Levi Strauss' representatives arrived from the regional centre in Brussels to Kiskunhalas to inform the local management, workers, the employment centre and the local government that the local factory, currently employing 549 people, will be closed down. Though initially the company feared the situation would escalate as a result of the workers' discontent, an agreement between Levis Strauss Europe, Middle-East and Africa (LSEMA) and workers representatives had been forged by 20th March. The agreement acknowledges the closure of the plant in May or June, until then workers will carry on working. They will receive a greater package of severance payment. Production of jeans in the facility began in 1988 with 1.7 million pairs of jeans produced last year. The company justified its decision with the shortfall of demand, the closure also fits with the management's plan to outsource production.
Eurofound (2009), Levi Strauss, Closure in Hungary, factsheet number 68774, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/68774.