Tubacex has decided to present a Temporary Employment Regulation File (ERTE) of up to 6 months duration for the entire workforce of its plants in the Alava towns of Llodio and Amurrio, some 600 people, without any kind of supplement as they have not reached an agreement with the works council.
The management of the company, which manufactures stainless steel tube, has reported this Thursday that it has had to make this “difficult decision” in the face of the situation created by the COVID-19 pandemic and has ensured that the ERTE will be applied without supplements because has not been able to reach an agreement with the committee despite the fact that he has “tried repeatedly.”
According to the company, the union representation has rejected offers of “salary supplements of up to 82% on an average salary that in Tubacex reaches 3,000 euros per month “.
“This supplement is a voluntary act of the company linked to an agreement with the committee, which unfortunately has not been possible, so the company will apply the ERTE under the legally established conditions, that is, without supplements,” he specified.
The ERTE, which will affect the entire workforce of the Amurrio and Llodio, and will last up to six months, joins other measures already taken by the company such as “the salary reduction of up to 30% for the entire board of directors as well as for all group managers.”
Now the management has one week to present the ERTE to the Labor Authority, which must rule on it and, once authorized, the start date will be determined.
On March 17, Tubacex announced the progressive stoppage of its industrial activity after the workers’ planting, although it resumed it a week later, on the 23rd, with the adoption of measures to prevent COVID-19 infections among its workers.
However, on the 30th it was forced to close after the central government banned all non-essential economic activities. The subsequent review of that decision allowed the Alava stainless steel tube manufacturer to resume its activity on April 1 in a phased manner and with minimum levels.
George Holan is chief editor at Plainsmen Post and has articles published in many notable publications in the last decade.