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14 August, 2001The Swiss metalworkers' union has criticised the transnational electrical engineering group over its plan to cut 12,000 jobs.
SWITZERLAND: The Swiss metalworkers' union SMUV has criticised in an open letter to the chief executive officer of ABB, Jörgen Centerman, the announcement of a massive job cut of 12,000 employees, or about 8 per cent of the company's current workforce worldwide.
SMUV especially expressed its disgust that the announcement appeared in the media without any information or even prior consultation with the workforce of ABB, its representatives in the works councils and the trade unions, either at national or international level. Even the so-called country coordinator for ABB Switzerland was unable to provide additional information to what was published in the press.
SMUV sees this not only as a violation of Swiss and European legal provisions but also an affront to ABB employees. After having declared in several meetings his willingness for a closer and more trustful cooperation with the European Works Council, ABB's CEO has now, in a few weeks, gambled away the confidence which could have been built up.
In addition to costs to the company of at least US$500 million, the announced job cuts are not only an expression of a policy without a concept, but also a weakening of the company's position in the marketplace and its competitive ability. It becomes obvious, states the SMUV, that there is no basic company strategy behind the decision, only the intention to please the shareholders, stock markets and bank analysts.
SMUV is demanding that:
- the announcement of job cuts be withdrawn;
- the employees and their representative bodies and unions be immediately and fully informed of the situation;
- in future ABB accept its obligation to inform the necessary workers' representative bodies before going public;
- the company guarantee the involvement of ABB employees, workers' representations and unions in realising current and future ABB projects.
In closing its letter, the SMUV says the onus is now on Jörgen Centerman to build up renewed confidence and trust with ABB's employees. Without this, the company will not thrive and only uncertainty and demotivation of the workforce will increase.
SMUV especially expressed its disgust that the announcement appeared in the media without any information or even prior consultation with the workforce of ABB, its representatives in the works councils and the trade unions, either at national or international level. Even the so-called country coordinator for ABB Switzerland was unable to provide additional information to what was published in the press.
SMUV sees this not only as a violation of Swiss and European legal provisions but also an affront to ABB employees. After having declared in several meetings his willingness for a closer and more trustful cooperation with the European Works Council, ABB's CEO has now, in a few weeks, gambled away the confidence which could have been built up.
In addition to costs to the company of at least US$500 million, the announced job cuts are not only an expression of a policy without a concept, but also a weakening of the company's position in the marketplace and its competitive ability. It becomes obvious, states the SMUV, that there is no basic company strategy behind the decision, only the intention to please the shareholders, stock markets and bank analysts.
SMUV is demanding that:
- the announcement of job cuts be withdrawn;
- the employees and their representative bodies and unions be immediately and fully informed of the situation;
- in future ABB accept its obligation to inform the necessary workers' representative bodies before going public;
- the company guarantee the involvement of ABB employees, workers' representations and unions in realising current and future ABB projects.
In closing its letter, the SMUV says the onus is now on Jörgen Centerman to build up renewed confidence and trust with ABB's employees. Without this, the company will not thrive and only uncertainty and demotivation of the workforce will increase.