The extensive restructuring announced on Thursday by the management of the carpet manufacturer Balta comes as no total surprise, according to Renilde Rommens from the Christian trade union ACV Metea.
Several restructurings have occurred in recent years, and the carpet sector is not thriving at the moment. However, this particular restructuring is remarkably drastic, noted the union representative.
Negotiations, as per the collective dismissal law, will begin on Friday.
Balta announced during an extraordinary works council meeting on Thursday that it plans to cease yarn production, along with the weaving and finishing of carpets at its sites in Sint-Eloois-Vijve and Sint-Baafs-Vijve, both located in West Flanders. The proposed restructuring would result in the phased dismissal of 467 labourers and 62 office staff over 18 months, totalling 529 jobs.
The company stated that it is “no longer financially feasible to continue large-scale production of woven carpets in Belgium” due to “ongoing pressure on demand and costs.” Some operations may be moved to existing sites in Turkey.
In contrast, the lamination and the premium finishing of tufted carpets will continue in Belgium, along with most administrative services. Additionally, the site in Sint-Baafs-Vijve will continue to operate as a distribution centre for Europe.
Currently, Balta employs 839 people in Belgium. The company was acquired in 2022 by the British group Victoria PLC.
