Saturday, February 21, 2015

Remediation at department store chain: So many Karstadt employees must go – ABC Online

Remediation at department store chain: So many Karstadt employees must go – ABC Online

Saturday, 02.21.2015, 19:48
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During the refurbishment of Karstadt significantly fewer people seem to be losing their jobs as initially feared. This was announced by the works council on Saturday. Previously, a breakthrough in the negotiations restoration was achieved.

Good news for the Karstadt employees: The council has indicated that it can reduce the number of planned layoffs significantly in negotiations with the ailing department store chain. Were agreed about retirement and early retirement.

Therefore, the expected number of layoffs of 2750 originally located at 1400 have halved quasi, the council chairman Hellmut Patzelt reported on Saturday. The company itself would not comment on specific numbers, but confirmed the agreement and called it a “breakthrough” in the rehabilitation program.

Works is “very satisfied”

Employees and Group management had in the past few months as part of the restructuring efforts negotiating a reconciliation of interests and a social plan. Karstadt stressed with the compromise after hard negotiations, the company had taken a decisive step further and lay one hundred percent in the rehabilitation efforts in the schedule.

The Karstadt-Chairwoman Patzelt said he was “very pleased” with the outcome under the circumstances.

transfer company planned

Financial management and employee agreed to hold to set up a transfer company for those affected by layoffs employees in order to further qualifications. Form

Even with the heavily criticized plans, specialized service teams for the supply of goods, an agreement had been reached, the company reported. The union had so feared loss of pay.

Karstadt based on voluntary

Here Karstadt is now on voluntary turnover. Change terminations and Abgruppierungen will not give it, the group insured. Nevertheless, Karstadt could thus economically feasible to expand its consulting and service coverage massively

The council chairman said: “Our goal – to create a transfer company and the prevention of Abgruppierungen – we have achieved And of course we have also agreed redundancy payments.. “. Now it is the task of the management to ensure the operations that in stores again money is earned.

Fanderl wants to restructure with a heavy hand

The new Karstadt CEO Stephan Fanderl had already announced shortly after the takeover of the department store chain by the Austrian real estate investor René Benko to want the struggling company restructure with a heavy hand. In October Fanderl had announced the closure of six stores this year.

Affected are two classic department stores in Billstedt and Stuttgart, the stores specializing in young fashion chain “K-Town” in Cologne and Göttingen and discount stores of the Group in Paderborn and Frankfurt / Oder. In addition, many jobs will be eliminated in the branches and headquarters in Essen.

sales continued to decline

Even after the initial Benkos the department store chain continues to struggle with declining sales. The important Christmas sales remained well below last year’s level.

Chief Financial Officer Miguel waste stream was therefore confirmed in an employee letter in early January “. There is no doubt that drastic personnel changes on the surface of our stores, and especially in the service center are inevitable in Essen”

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