Type
Internal restructuring
Country
France
Region
Location of affected unit(s)
Sector
Retail
Retail Trade, Except Of Motor Vehicles And Motorcycles
Retail Sale In Non-Specialised Stores
47.11 - Retail sale in non-specialised stores with food, beverages or tobacco predominating

1,230 - 3,000 jobs
Number of planned job losses
Job loss
Announcement Date
17 April 2019
Employment effect (start)
1 July 2019
Foreseen end date
31 December 2019

Description

The Carrefour group is negotiating with the trade unions a job reduction plan that will affect 1,230 of the 66,000 employees working in its hypermarkets in France. In total, the group employs 115,000 people in France. Management intends to adapt the workforce to its new strategic choices in order to revive hypermarkets. This involves reducing the space devoted to non-food products, eliminating jewellery and creating shelves dedicated to destocking. The positions covered are therefore those in the jewellery, multimedia, back office, payroll, management, administrative functions and service station cash registers departments.

Management intends to use the recent legal scheme of Rupture conventionnelle collective, which allows for voluntary departures with the possibility of subsequent hiring, and an early retirement system. Mechanisms are in place to avoid departures in professions where the group faces recruitment difficulties, particularly fresh produce departments (bakery, pastry, fruit and vegetables, fish). The management has already cut 1,274 jobs in its supermarkets in 2018, and 2,000 at its headquarter in the same year; 246 jobs were cut in its bank activities in 2016.

Update 04/05/2019: the voluntary departure plan and the early retirement scheme could lead to 3,000 departures. However, according to management, the number of job cuts is 1,230, as other departures should be replaced to 'promote generational renewal in the context of the necessary transformation of the hypermarket model'.


Sources

Citation

Eurofound (2019), Carrefour, Internal restructuring in France, factsheet number 97635, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/97635.