Type
Offshoring/Delocalisation
Country
France
Region
Centre-Est; Rhône-Alpes;
Location of affected unit(s)
Saint-Priest
Sector
Manufacturing
Manufacture For Transport Equipment
Manufacture Of Motor Vehicles, Trailers And Semi-Trailers
29 - Manufacture of motor vehicles, trailers and semi-trailers
New offshoring locations
Sweden, Morocco, Turkey

591 jobs
Number of planned job losses
Job loss
Announcement Date
28 April 2015
Employment effect (start)
Foreseen end date

Description

In April, the Swedish group Volvo announced 591 job cuts in its Renault Trucks subsidiary in Saint-Priest (Rhône). At the same time the company will create 79 positions. The net job losses will be 512. The management also plans to outsource some IT services that currently employ 600 employees. The management confirmed that the reorganisation will not affect production activities. The truck manufacturer intends to maintain its competitiveness and boost sales of a recently launched line of trucks in France.

On 9 June, the management announced to the central works council details regarding the job cuts. The number of jobs cuts will be reduced to 497, including 436 in the sales support services. The management' plans to relocate 143 jobs in the sales services to Sweden. while 48 jobs in the operational support unit will be relocated to Morocco and Turkey.

The possibility that French employees will agree to be transferred to these countries is  of course very low. Job cuts will also affect other units: brand and product unit (50 cuts), brand promotion (37 cuts ) and  sales management control  (32  cuts). 65 positions will also be cut in the research and project management department where some 20 administration and accountancy positions will be transferred  to Poland and India.

On 16 June, about 1,000 employees demonstrated in Lyon to denounce the social plan and to ask the government to put pressure on the company to mitigate social and employment impact of the reorganisation.

The ERM reported previously on a large restructuring measure at Renault in France, announced in early 2013 and in  November and March 2014 that led to 508 job cuts


Sources

  • 28 April 2015: L'usine Nouvelle

Citation

Eurofound (2015), Renault Trucks, Offshoring/Delocalisation in France, factsheet number 83482, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/83482.