Negotiations on the international social plan Credem go to reconciliation

On Wednesday 29 August 2018, ALEBA, together with the LCGB-SESF and OGBL-SBA trade unions, announced that they had been invited at the end of July 2018 to negotiate a social plan at CREDEM INTERNATIONAL Bank (Luxembourg) S.A. which will impact the entire staff, i.e. 15 employees; unfortunately, negotiations failed and the National Conciliation Office (NCO) was contacted on Thursday 9 August.

CREDEM, which was able to rely on loyal employees (average employment duration of employees being 20 years), who have helped make it prosperous (more than €18 million in average annual profit over the last 10 years), decided to close its business in Luxembourg after 45 years of presence in the Grand Duchy of Luxembourg.

In a press release, ALEBA, LCGB-SESF and OGBL-SBA stated that they are “revolted by the working methods of management: the negotiators are not decision-makers, the management of the group in Italy refusing to negotiate with the unions. In addition, the management presented itself on the first day without any preparation” They also stated that the “documents sent by the bank’s lawyer do not reflect the reality of the negotiations, with the lawyer returning regularly to the points already negotiated. This is unheard of in the negotiations of social plans in the financial sector!”

At the end of the legal bargaining period, the proposal presented by the CREDEM was considered “disrespectful and insulting” by its employees who will lose their jobs and end up in difficult financial situations, with all the social and family consequences that may result. According to the unions, the current proposal is “clearly below what is usually done in similar situations and does not even correspond to a quarter of what is customary in the banking sector in Luxembourg”.

The unions claim that the bank does not want to take its social responsibilities towards its employees with the help and guidance of their lawyer.

Protest actions have already begun internally and a demonstration in front of the National Conciliation Office is to be organised soon.