EMCC European Monitoring Centre on Change

La Manufacture Charentaise

Company/Organisation:
La Manufacture Charentaise

Geographic Location

Country: France
Region: Charente; Poitou-Charentes; Ouest
Location of affected unit(s): Rivières

Company

Sector: Manufacturing
Manufacture of textiles, apparel, leather and related products
15.20 - Manufacture of footwear
Number Employed: 104

Employment Effects

Announcement Date: 15-11-2019
Planned Job Reductions min: 104
Planned Job Reductions max: 104
Type of Restructuring: Bankruptcy
Employment Effect Start: 18-11-2019
Foreseen End Date: 30-11-2019
Direct Dismissals: 104

Additional Information

The Commercial Court of Angoulême pronounced the judicial liquidation of La Manufacture Charentaise (LMC) at Rivières (Charentes), which employs 104 people. Placed in receivership on 25 July, the company, which is one of the last to manufacture traditional 'Charentaise' slippers in France, had only received one takeover offer which the court rejected. The takeover only proposed to keep 38 jobs. The liquidation has been declared with immediate effect and the employees will receive their redundancy letter by the end of November.

The FO union denounces poor management by managers and owners. LMC is the result of the merger in 2018 of four manufacturers of the famous 'Charentaise' slippers, but the companies' business was already in bad shape. According to the daily Le Progrès, the company suffered in one year a sharp drop in its turnover - from €13 million for the four companies in 2018 to €7 million - and from a positive net result of €1.3 million, to a loss of nearly €700,000 in a few months.

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