Nike reduces its weekend team at Belgian factory

Nike reduces its weekend team at Belgian factory
Illustration picture taken during a visit to Nike European Logistics Campus in Laakdal, Wednesday 07 June 2023. Credit: Belga

Sportswear giant Nike plans to reduce weekend work at its European Logistics Campus (ELC) in Laakdal/Ham, as announced to unions on Thursday during an extraordinary works council meeting.

There will be no collective redundancies, according to Eric Vuchelen of the liberal union ACLVB (CGSLB). "The 155 affected workers will receive various proposals, but those who wish to stay with Nike can do so," he assured.

This decision is reportedly driven by an insufficient weekend workload and higher wage costs during these times. The union representative did not specify the options available to affected workers.

The weekend shift comprises around 600 employees. These workers will be informed on Saturday if they are affected by the restructuring and the options available to them.

"Everyone will have a few weeks to consider their choices. We believe most will want to remain with Nike, even though redundancy is a possibility," added Eric Vuchelen.

According to Marieke Van Gils from the socialist union BBTK (SETCa), supportive measures have been prepared and will be disclosed to staff later.

Earlier this year, around 150 temporary staff at the European logistics centre were offered permanent contracts.

Located on the border between Laakdal (Antwerp) and Ham (Limburg), the distribution centre employs approximately 5,000 people, serving both e-commerce and supply chains for retailers and wholesalers across dozens of countries in Europe and Asia. The ELC is recognised as the largest employer in the Kempen region.

Nike is currently facing tough times, with recent quarterly results showing declines in sales and profits and no short-term improvement forecast.

The brand is struggling with increased competition and is attempting reinvention under new CEO Elliott Hill. Additionally, import tariffs are impacting results, with several factories located in China and Mexico.

In Belgium, Nike is also contesting a €1.5 billion tax claim in court.

The Laakdal facility is located along the Albert Canal about 45 km east of the port of Antwerp and adjacent to a large inland container terminal.


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