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Philips postpones outsourcing

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12 July, 2001Under increasing pressure, management of the two Philips semiconductor plants in Germany will delay implementation of its plans until August 1.

GERMANY: After massive worker protests and following the decision by the Executive Committee of the German metalworkers' union IG Metall to ask its membership in the two Philips semiconductor plants in Germany for a strike vote, Philips has announced that the outsourcing of the two plants into an independent new company will be postponed for four weeks, until August 1. One of the plants in question is in Hamburg, with 2,300 employees, and the other in Boeblingen near Stuttgart, with 760 employees.
Due to the pressure of IG Metall and the Philips Works' Council on the company, as well as a constantly increasing trade union membership rate -- more than 600 Philips workers have joined IG Metall since the conflict started -- the management of Philips has now also accepted to start negotiations on the outsourcing and a collective agreement for the affected workers. The negotiations will already start this week.