News that Michelin is to cut a possible 700 jobs in France at its Joué-lès-Tours plant, will also see the supplier stop truck tyre production at its Algerian site.
Unions and politicians have reacted with anger and shock to today’s (10 June) development, although Michelin insists its North Africa site will not see redundancies as it is being sold to Algeria private sector employer, Cevital.
Go deeper with GlobalData
However, production in Algeria will only continue to late 2013 due to the factory’s small size and urban location, according to Michelin.
Cevital will initially acquire 67% of the local subsidiary’s capital, before buying out the remaining shares in a second phase.
“Cevital…has committed to offering each of the plant’s 600 employees a job in one of its other businesses in the country,” said a Michelin statement.
“The agreement will make it possible to increase sales of Michelin tyres to all of the Group’s customers, by maintaining at Cevital the 80 people working in the Michelin sales teams.”
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData
