June 17, 2021

Orange presents an ERE for 485 workers in Spain and justifies it due to the price war

The Spanish subsidiary of Orange has informed the unions this Friday of its intention to carry out an employment adjustment plan that will affect “at most” 485 workers, as reported by the company itself. The ‘teleco’ itself will summon the representatives of the workers in the first days to start the negotiation of the process. The process affects around 15% of the group’s workforce in Spain.

The company justifies in a statement that the ERE occurs because “the sector has been chaining revenue losses for years as a result of the hyper-competitiveness of the market and the multiplicity of low-cost players.” “This poses a great challenge,” says the company, “after taking intensive investments for more than 20 years and that it needs to continue doing so in an environment of technological transition.

For this reason, Orange considers “essential” to ensure the competitiveness of the group to carry out these “structural changes”. The process will take place during this month and the next.

The unions have indicated that the meeting has been called by the management of the subsidiary “by surprise” and that “technical, organizational and production causes have been blamed.

The Orange management has brought together the union sections by surprise to communicate that they have decided to present an ERE for technical, organizational and production reasons. The negotiating table is expected to be established on May 31. “We do not know what the company’s approach will be, UGT flatly rejects any measure that affects the stability of the workforce after the effort made during the pandemic to guarantee the service,” says UGT in a note.


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