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.
The French airline Air France is to cut 250 jobs by 2016. The company announced, on 15 July, to the works councils of its three regional company subsidiaries – Régional, Brit Air et Airlinair – that it will merge them in a new short-haul brand “Hop!” by June 2016. Currently the three regional airlines have preserved their autonomy and own management and headquarters. The merger will lead to the loss of about 250 positions, mainly administrative and support functions staff, from a total workforce of 3,000 employees working for Hop!. It will become the second largest airline company in France after Air France itself. Pilots’ unions have indicated that they expect also 80 job cuts (40 pilots and 40 cabin crew).
The merger will allow Air France to renounce all collective agreement in force in its three subsidiaries and to negotiate a new one that could lead to further labour cost reductions. Some managers have already been transferred from the headquarter of Brit Air in Morlaix to Rungis where Hop!’s headquarter is located. In April, Air France announced it would cut 800 positions and a new reorganisation plan is expected that could lead to cut 3,000 positions.
Eurofound (2015), Hop!, Merger/Acquisition in France, factsheet number 84307, European Restructuring Monitor. Dublin, https://apps.eurofound.europa.eu/restructuring-events/detail/84307.