Fewer collective layoffs announced in first nine months of 2022

Fewer collective layoffs announced in first nine months of 2022
Credit: Belga

From January to September, 40 companies in Belgium announced their intention to carry out collective redundancies. A total of 2,547 jobs were at stake, less than half the average for the past 10 years, according to figures from the Federal Employment Department.

The number of collective redundancies is low compared to past years. For example, from January to September 2021, 70 such proceedings were initiated, threatening 5,376 jobs, and in the past 10 years (2012-2021), an average of over 70 collective dismissals were announced during the first nine months of the year, with nearly 5,900 jobs at risk.

So far this year, the biggest announcement is the planned closure of the facility of carpet manufacturer Balta in Avelgem, West Flanders, with 270 jobs at risk.

The province most affected is Antwerp, with 742 jobs threatened by collective redundancies. This includes the announced departure from Belgium of the Antwerp-headquartered flash-delivery company Gorillas (199 jobs), the intended closure of the  Turnhout branch of candy manufacturer Cloetta (116 jobs) and plans by fashion company Kontoor to cut 114 jobs.

Specific legislation applies to major restructurings in which many people risk losing their jobs. Employers who want to implement  collective dismissals must first announce their intention and then go through a consultation procedure with their employees' representatives. Alternatives can possibly be worked out, so that the eventual number of lost jobs is limited.

From January to September, the procedures for previously announced redundancies were closed in 28 companies. Originally 1,989 jobs were threatened;  in the end 1,756 people lost their jobs.

More than one in ten jobs were therefore saved.


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