Shaping the future of Luxembourg’s industry

At the request of the unions, the OGBL, which has a majority in the sector, the employers’ association FEDIL, the Minister for the Economy, Franz Fayot, and the Minister for Employment, Georges Engel, met to analyze the situation in the sector and to ensure that the right responses were given after the two redundancy plans announced in recent weeks.

At the tripartite meeting, the employer and government representatives, as well as the OGBL, confirmed that there is no general crisis in the sector. Nevertheless, the OGBL remains cautious and wants to equip itself with the means to find immediate solutions to existing problems and to anticipate and face future challenges.

Although the redundancy plans have now been withdrawn and the social dialogue re-established, it should be noted that these companies initially disregarded the workers’ representatives’ right to information and participation. This constitutes an offense of obstruction, which can be prosecuted. It should be noted that the actors present confirmed that these were anomalies for the country and that social dialogue and job protection were still the main objectives.

Nevertheless, the OGBL will continue to denounce this situation and will not hesitate to take legal action. At the meeting, the OGBL gave a clear warning to the employers’ representatives on this issue and reiterated the importance of good social dialogue.

Renewing and strengthening social dialogue

Faced with an uncertain geopolitical context, aggravated by speculation on energy and raw material prices, a digital and ecological transition that is forcing itself upon us, and an aggressive industrial policy on the part of the Americans, it is obviously essential to act in favor of a coordinated industrial policy.

The OGBL calls for inspiration from the American model, which supports industry in its energy transition and aims to reindustrialize the country by focusing on the development and creation of well-paid union jobs. All of this is only possible if workers’ voices are heard and workers’ representatives are actively involved in the changes.

In this context, the participants called for and supported the strengthening of the existing tripartite platforms for exchange between the social partners:

  • Strengthening the role of the Comité de conjoncture, with special and regular attention to the sector in order to anticipate challenges;
  • Convening a permanent committee on work and employment (Comité permanent de l’emploi et du travail – CPTE) to improve the law on the job protection plan (plan de maintien dans l’emploi – PME);
  • Reactivating the role of the ADEM as a key player in the company monitoring committees set up to support the job protection plan (plan de maintien dans l’emploi – PME).

Social responsibility of companies

For the OGBL, an industry of the future is only possible if companies are given a sense of responsibility. In concrete terms, this means that aid, whether social (early retirement, short-time working, reimbursement of training costs, etc.) or public, must include social criteria with real quid pro quos and social commitments towards employees.

The OGBL will not support blank checks for investors!

Digital and ecological transitions will happen with us, not without us!

Agreement within the framework of the implementation of a job protection plan

Discussions on the implementation of a job protection plan at Dupont Teijin Films S.A. have finally resulted in an agreement.

Thanks to the strong reaction and immediate commitment of the OGBL and LCGB, as well as considerable support from representatives of the Ministries of Labor and the Economy, a 6-month job protection plan (plan de maintien dans l’emploi – PME) was signed for the 160 threatened employees.

The PME agreement provides for all the various measures and legal provisions necessary to maintain employment, including temporary loans of manpower, retirement and early retirement schemes, training and outplacement.

In addition, a monitoring committee has been set up whose main task will be to strictly monitor the progress and application of the measures in strict compliance with the agreed agreements, and to do everything in its power to find a solution for every employee whose job is to be eliminated.

Despite the serious and gloomy situation, this agreement confirms that the unions, with the strong support of the Ministries of the Economy and Labor, have succeeded in upholding the country’s model of social dialogue!

Press release April 21, 2023

The labor shortage in industry must not be used to undermine working conditions and pay

While the reduction of working hours is now a necessity throughout the world, the employers’ representatives of Luxembourg industry (FEDIL) have just announced that they are demanding, among other things, precisely the opposite, namely an increase in working hours – a measure presented by FEDIL as the main solution to the problem of labor shortages in the sector. The OGBL industry syndicates would like to denounce this lame shortcut of blaming employees or even the government, while completely ignoring their own failings.

Anyone who follows the international news discovers every day the results of another country that publishes the effects produced on its territory by a reduction in working time with salary maintenance. Everywhere, the results are the same: an improvement in employees’ personal balance and the maintenance or even an increase in the productivity of companies. The OGBL’s position is thus confirmed: satisfied employees who are able to better reconcile their private and professional lives are beneficial to companies, which thus become more productive and therefore more profitable!

Employees in industry are not suffering, they are suffering badly!
In Luxembourg, some FEDIL members do not want to question themselves and identify the real reasons for the difficulties that some companies have in recruiting or retaining employees? Whose fault is it? For FEDIL, it is the employees who do not work enough, the sick who pretend being sick, the laws and collective agreements that protect the employees and prevent employers from doing as they please.

Living to work or working to live?
To want to increase the “effective” working time is in itself an insult! For the OGBL, there is only one working time, that during which the employee is at the disposal of the employer without being able to freely do his or her personal business. To raise doubts on this notion, by inserting the term “effective”, has the sole aim of concealing an employer’s demand to increase working time beyond the legal provisions currently in force or, worse, to call into question existing reductions in working time, negotiated in the framework of collective agreements. This includes extra-legal leave, reduced working hours (yes, these already exist) or paid breaks. Some less well-intentioned people might even see this as a desire by FEDIL to put an end to pee- and coffee-breaks, dressing or shower.

These demands seem all the more inappropriate as FEDIL seems to forget that workers in the industry work in continuous-fire and/or shift regimes with atypical working hours and often with flexibility in working time. The FEDIL, with unbounded greed, demands more flexibility, without control, forgetting to point out that thanks to collective agreements, many companies in the sector already have a flexibility that takes into account the rights of employees, since it has been negotiated collectively.

This raises the question of whether the reality experienced by company managers is really the same as that of companies and employees on the ground? Or is it simply a new attempt to reclassify overtime and thus no longer have to respect the authorised limits and, above all, to avoid paying or compensating overtime at its fair value?

Work makes you sick
Sick hunting seems to be a favourite pastime for companies, given the repeated demands from the federations for more means of controlling certificates and reducing wages in the event of illness. The OGBL defends the provisions protecting sick employees and wonders rather about the causes of illnesses? Could it be that the illnesses are caused by the fact that many companies are understaffed as a result of yet another reorganisation or restructuring? Or is it due to the increasing intensity of work and the demand of companies to do more with less? The FEDIL forgets that work also makes you sick, both physically and mentally, especially when you have to deal with toxic management and work schedules that are not respected.

Labor shortage goes hand in hand with lack of attractiveness
Many companies believe that the labor shortage is due to the fact that people “don’t want to work anymore”. However, one only has to look at the unemployment figures in Luxembourg and beyond our borders to dispute this assertion. Nor is it the government that will allow industry to stand out from other sectors in the country through one measure or another. Companies in the industry need to take responsibility and ask themselves the right questions: why are they having trouble recruiting and retaining employees? Are these industry professions still attractive?

For the OGBL, the answers and solutions are relatively simple: better working conditions, better pay and real career prospects. And this is only possible through collective bargaining. Companies will never do it voluntarily. The European institutions have confirmed this view by asking the Member States – and Luxembourg is also targeted here – to extend the coverage of collective agreements. Across the Atlantic, the Biden administration is making the maintenance and creation of well-paid union jobs a key element of its recovery plan for the USA.

The OGBL is convinced that it is not by dismantling the Labor Code and collective agreements that industry will become more attractive and attract “talent”. On the contrary!

Press release by the OGBL Industry Syndicates,
17 March 2023

 

Linear wage increase at Hyosung

After many months of negotiations, the OGBL, LCGB and Hyosung’s management signed a new collective bargaining agreement on March 13, 2023 covering the company’s approximately 120 employees.

The new collective bargaining agreement was negotiated for a period of two years, from January 1, 2023 to December 31, 2024.

It includes a linear salary increase for all employees of the company as of January 1, 2024. Employees paid by hour will receive an increase of 0.10 euros/hour and employees paid by the month 17.30 euros/month.

In addition, the soiling bonus (for dirty work) will be increased from 0.90 euro/hour to 1.50 euro/hour, with retroactive effect to March 1, 2023.

Finally, it should be noted that the negotiations took place in a good social climate.

Located in Colmar-Berg, Hyosung produces metal wire for tires and is a supplier of Goodyear.

Press release by the OGBL Chemistry Syndicate,
March 14, 2023

Unions mobilize against management’s neglect of employees!

On March 9, DTF management met for the first time with the OGBL and LCGB and the staff delegation to discuss the announced loss of 160 jobs.

After this meeting, the unions and the staff delegation remain dismayed by the attitude and position of the management at the Contern site. In fact, they are stubbornly sticking to the idea of a redundancy plan that will lead to outright dismissals! This is nothing less than following the dictates of the USA! Worse, the management is totally unable to offer any prospects for the remaining production line!

The OGBL and LCGB would like to point out that the company has been benefiting from short-time work and aid from the Ministry of Economy for several months.

On the same day, the unions met with the Minister of Labor to inform him of the attitude of the DTF management during this first meeting. The economic and financial situation was also explained to the Minister. The unions and the staff delegation expressed their deep concern about the future of jobs in the company and asked for the necessary support.

To this end, the OGBL and the LCGB proposed the creation of an “industrial” reclassification cell, inspired by the “CDR” model used successfully in the steel and aviation tripartite agreements. This cell model would make it possible to keep people in work and to partially respond to the labor shortage – on which everyone agrees – through various measures, including the loan of workers, reorientation through training courses, etc. The Minister expressed his support for the creation of this cell.

The Minister clearly expressed his support for the introduction of a job protection plan in accordance with the Luxembourg model of social dialogue, which has proved its worth time and again in some of the country’s most emblematic companies. The Minister confirmed that he would make representations to DTF management in this regard. He also reiterated that his Ministry would support the various measures and steps to be taken in such cases, in accordance with the legal framework for social dialogue (early retirement, short-time work, etc.).

In addition, and in response to the unions’ demands, the Minister undertook to invite the company’s management, the unions and his counterpart at the Ministry of the Economy, Minister Franz FAYOT, to work together on possible solutions to avert this disaster, not only for the employees concerned, but also for Luxembourg’s industrial sector.

Finally, and in view of the negligent and unacceptable attitude of the management and the Celanese group, the OGBL and the LCGB, together with the staff delegation, launch a strong call for mobilization with a view to holding a protest picket in front of the DTF company scheduled for next Thursday, March 16, 2023.

Press release March 10, 2023

160 jobs threatened! – Unions demand a job protection plan!

Today, the management of Dupont Teijin Films (DTF) announced to the staff delegation and the OGBL and LCGB syndicates that 160 jobs will be cut following the decision to stop production on lines 2 and 4 due to lack of profitability.

The OGBL and LCGB are outraged by this announcement and demand that a job protection plan (plan de maintien dans l’emploi – PME) be implemented as a matter of urgency to avoid any redundancies! All means must be used to preserve jobs.

In this context, the OGBL and LCGB seriously question the origin of the sale of this plant, which belonged to Dupont de Nemours and has been in the hands of Celanese since October 2021!

Barely six months after the takeover, a massive reduction of jobs has been announced! Under these conditions, Dupont de Nemours must also assume its share of social responsibility for the threat now hanging over 160 jobs, while the Dupont group continues to invest.

That is why the syndicates are urgently calling on the management to start negotiations with the Dupont de Nemours management on a PME.

This PME would make it possible to take advantage of all social support measures to avoid job losses, such as early retirement, loan of workers, but also professional reorientation through training.

Given the seriousness of the situation, the OGBL and the LCGB have requested an urgent meeting with the Minister of Labor in order to obtain the necessary support and guidance in this matter.

A first meeting with the management will be held on March 9, 2023 to present and analyze the economic situation of the DTF.

The syndicates, with the strong support of the workers’ delegation, will use all the means at their disposal to defend the existence of the workers and their jobs!

Press release March 6, 2023