EMCC European Monitoring Centre on Change

Latecoere

Company/Organisation:
Latecoere

Geographic Location

Country: France
Location of affected unit(s): Labège + Other locations

Company

Sector: Manufacturing
Manufacture of transport equipment
30.30 - Manufacture of air and spacecraft and related machinery
Number Employed: 1504
Group: Searchlight Capital Partners

Employment Effects

Announcement Date: 25-09-2020
Planned Job Reductions min: 475
Planned Job Reductions max: 475
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-01-2021

Additional Information

Faced with a drop in business of more than 40% since the beginning of the year, the aeronautical equipment manufacturer Latécoère announced a restructuring plan that would result in 475 job cuts in France, out of 1,504. That is to say approximately 30 % of its workforce in France. However, none of its nine sites in France will be closed. Management promises to use all possible means to reduce the number of job cuts as far as possible.

The distribution of job cuts envisaged between the different sites is not yet known. Negotiations with employee representatives, which will begin at the end of September/beginning of October, are expected to take several months. The only details at this stage are that the employment safeguard plan (PSE) presented provides for 345 job cuts out of 827 in the aerostructure sector, and 130 job cuts out of 677 in the interconnection-cables sector, according to the CFE-CGC union, which considers these figures to be 'disproportionate'. In addition, the Labège site, near Toulouse, will retain only an administrative activity. A long-term short-time working scheme ('activité partielle de longue durée - APLD') will also be submitted to the unions. 

Two previous reorganisations were recorded in 2016 with 160 job cuts and in 2008 with 500 job cuts.

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