SMM: it is reported that both PSA Group and Renault have signed "solidarity contracts" with employees in France to protect employees' jobs during the suspension of the epidemic and to provide safe working conditions for employees after the factory resumes production.
On April 7th PSA reached an agreement with the union. The company will set up a fund to ensure that its 33000 French employees are paid 100 per cent during the period of semi-unemployment. Part of the fund will come from donations from employees, in the form of employees giving up some paid leave (managers give up two days and others give up one day), while the other part comes from the company. Last week, Renault signed a similar agreement with employees to ensure that its 36000 French employees are paid in full. However, each employee will give up a day's paid leave.
"this agreement protects the health and safety of employees at the same time," Xavier Chereau, executive vice president of human resources, digital and real estate at PSA, said on a conference call. " Chereau said that although PSA had prepared health protection measures at the plant, it had not yet decided on a specific date for resumption of work.
The French government says no workers will lose their jobs in the shutdown caused by the outbreak, and the government will pay up to 84 per cent of the wages of laid-off workers.
Last week it was reported that PSA planned to restart operations at its engine and transmission plant in northern France in the coming weeks, but the PSA union denied the news. Before restarting the factory, Chereau says PSA needs to make sure that measures to protect employees are in place and effective. The company's health protection measures include the provision of masks and other protective equipment for workers, as well as the modification of workplaces to keep the distance between workers more than one metre.
Both PSA and Renault's factories in Wuhan have reopened. Chereau said PSA would apply the lessons learned from the Wuhan plant to its European counterparts. "We have benefited a lot from the experience provided by our Chinese colleagues, particularly in the area of health protection measures."
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