Restructuring events
European Restructuring Monitor (ERM)
The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
BPEL, an Italian banking group, initially announced its decision to lay-off 410 workers in December 2014 in a plan to increase the efficiency of the group. Following negotiations with unions there was an agreement on 7 February 2015 entailing 210 layoffs.
However, on 11 February, the Italian Central Bank put the company under insolvency proceeding following the high amount of non performing loans highlighted by the inspection activities and its serious impact on the bank’s assets. Consequently all the decisions concerning the bank, including the management of the restructuring process, were freezed and assigned to the special commissioners. On 18 February 2015, the special commissioners met the unions and confirmed the agreement signed on 7 February.
The group will close 30 branches and 210 dismissals will take place by means of incentivised early retirements taking place over a four year period. Most of the dismissals (200) will take places in Banca Etruria, while the remaining lay-offs will affect other banks of the group and the subsidiary providing IT services. Other redundancies will be avoided thanks to the implementation of a job-security agreement to be funded by means of the sectoral paritarian institution, other forms of working time reduction (among which availability to increase part-time schemes and additional non remunerated parental leaves upon request of workers, compulsory accrual of overtime worked hours in the bank of hours), and relocation of workers. The amount of working hours to be saved will be reduced in case more than 210 employees will access the early retirement scheme.
Trade unions expressed satisfaction for the agreement.
Eurofound (2015), Banca Popolare dell’Etruria e del Lazio (BPEL), Closure in Italy, factsheet number 78787, European Restructuring Monitor. Dublin, https://dev.eurofound.europa.eu/restructuring-events/detail/78787.