TNT Express has agreed to scale back plans for 854 job losses in Italy to about 550-600 and isrestructuring its senior management in the UK.
The Dutch group, with some 3,000 employees in Italy, originally announced 854 job losses as partof a restructuring that would close 20 smaller branches out of its 100-strong network in order toreduce operating costs. But transport unions FILT CGIL, FIT CISL and Uiltrasporti demanded that TNTwithdraw the plans and called two one-day strikes that effectively stopped the company’s operationsin Italy.
TNT reached a deal with Italian unions on July 18 following meetings at the ministries ofEconomic Development and Labour on July 17 and 18. Unions then called off a planned third one-daystrike on July 19 and the company’s operations have been running normally since then.
Under the agreement, a temporary layoff procedure will be implemented, some 250 – 300 employeescould be reassigned to other jobs at TNT Express Italy, and there will be monetary incentives toleave the company along with outplacement support. As a result, the number of job losses will fallto about 550-600.
A TNT Express spokesman told CEP-Research today: “Next year, TNT Express Italy will ask for anextension of the temporary layoff procedure. In the meantime, we will do our best to reduce thenumber of redundancies through the mentioned actions.”
Earlier this week TNT highlighted Italy as one of its weaker trading markets in its Q2 results,which included a €160 million goodwill impairment for worsening trading conditions in SouthernEurope (especially Italy and France).
TNT Express Italy, with net sales of €605 million in 2012, is one of the Italian express marketleaders, operating domestic and international air and road express services within, to and fromItaly via a network of around 100 locations, including hubs, depots and service centres.
Meanwhile, TNT Express UK & Ireland is planning to restructure management of its operationsand sales divisions, resulting in up to 15 redundancies of senior managers.
The TNT spokesman explained: “TNT UK and Ireland is enhancing its operational practices andstrengthening its sales approach to increase operational efficiencies and enrich customerengagement. This change is likely to result in no more than 15 redundancies at management levelwithin the operations and sales area. TNT Express is supporting its employees throughout thischange to find alternative positions in line with its legal obligations.”