EMCC European Monitoring Centre on Change

PSA Peugeot-Citroën

Company/Organisation:
PSA Peugeot-Citroën

Geographic Location

Country: France

Company

Sector: Manufacturing
Manufacture of transport equipment
29.10 - Manufacture of motor vehicles
Number Employed: 54649

Employment Effects

Announcement Date: 10-07-2016
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-09-2016
Foreseen End Date: 31-07-2019
Planned Job Creation: 1000

Additional Information

The car manufacturer PSA Peugeot-Citroën has signed a collective agreement with 5 of its 6 representative unions (with one union, the CGT, refusing to sign) to increase the competitiveness of the group in France. The agreement aims to increase working time flexibility, to end the pay freeze and to increase the level of recruitment with the aim to recruit 1,000 employees over the next three years. As recorded in the ERM database, the group has also decided to recruit 150 employees in 2016 for its car dealership in France. The agreement includes commitments from the management to produce one million vehicles in France, to maintain 85% of it R&D services and to assign the production of one new car to each of its plants in France. However, the company expects 2,500 older workers to leave within the framework of a former senior departure plan. This means that the total workforce will decrease despite the 1,000 strong recruitment drive. The group has cut about 7,200 positions since 2013 and, according to the newsletter Les Echos, this trend is expected to be maintained.