Obrascón Huarte Lain, S.A. and OHL Industrial, S.L. end their collective layoff proceedings
May 4, 2017
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The workers’ meetings of Obrascón Huarte Lain, S.A. and OHL Industrial, S.L. have ratified the agreements reached with the negotiation boards of both companies last 28 April, further to the collective layoff proceedings they both filed last 9 March.
There are 457 workers affected by both procedures- a total of 335 in Obrascón Huarte Lain, S.A. and 122 in OHL Industrial S.L.-, representing 17.5% less than what was initially proposed.
It is estimated that the OHL Group will bear costs of 34.2 million euros (28.6 million euros for Obrascón Huarte Lain, S.A. and 5.6 million euros for OHL Industrial, S.L.), which will depend on the number of employees voluntarily adhering to the dismissal process.
Both procedures, filed on the grounds of economic, organizational and production circumstances, are part of the cost reduction measures agreed to ensure the Group’s sustainability. As a result, approximately 38 million euros are estimated as annual recurring savings.
Generally speaking, the exit terms for Obrascón Huarte Lain, S.A. and OHL Industrial, S.L. employees have been based according to age thresholds.
- For workers under 59: indemnification of 32 days’ salary per year’s work, with a maximum of 25 monthly payments and a linear payment of 1,000 euros for each full year’s service, with a maximum of 20 years’ seniority for employment contracts prior to 12 February 2012.
- For workers between 59 and 63: indemnification equivalent to 80% of the worker’s net fixed salary payable since his/her exit date and until reaching 63 years of age. Furthermore, the employer company will complement the indemnification paid to this group with the cost applicable under a special Social Security agreement, until the age of 63.
- For workers 63 years old or above: indemnification of 20 days’ salary per year’s work, with a maximum of 12 monthly payments.