Renault has been granted EUR24.5m (US$32m) in aid following a request by the French government to the European Commission, the European Parliament and the Council of Ministers.
The aid is to be granted for the expenses incurred by Renault to redeploy employees on a voluntary basis as part of Renault Voluntary Plan 2008-2009. Renault is also to strengthen its initiatives in employment and working conditions.
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The European Parliament and Council of Ministers voted in favour of the request submitted to the European Globalisation Adjustment Fund (EGF) for aid. An audit will be carried out by government services, to obtain further reassurances on the professional reintegration aid paid by Renault in 2008 and 2009 to financially support the redeployment of employees having chosen to leave the company.
The EGF backs employee support measures that go beyond the legal requirements of EU countries. The Commission’s decision highlights the fact when Renault was forced to reduce its workforce owing to the economic and financial crisis, between October 2008 and April 2009 the company implemented a voluntary redundancy plan along with a sizeable aid programme for professional reintegration.
A statement from Renault noted: “Rather than laying off staff, Renault favoured voluntary measures and professional redeployment. The company will use the EGF aid to finance part of the reintegration measures taken as part of Renault Voluntary Plan 2008-2009.
“Renault is also to strengthen its initiatives in employment and working conditions, such as intensified training and better ergonomic workstations.”
