Dispute at La Redoute: Agreed 44.5 million deal between workforce and directors
La Redoute's Burning Issues: Unions Piling Pressure on New CEO
(Image credit: Postmodern Studio/AdobeStock)
Hello there! Let's dive into the latest drama unfolding at La Redoute, shall we?
The New Boss Meets a Testy Union Welcome
Beatrice Hericourt, La Redoute's new general director, hasn't even unpacked her office bags before she's slapped with a union showdown. Just three days into her tenure, staff at the Galeries Lafayette-owned fashion and decor brand are gearing up for a protest. So, what's got everyone riled?
Outsourcing Woes
The root of the problem lies in the outsourcing of Quai 30, a logistics site in Wattrelos, Hauts-de-France, initially designed to handle 40 million small parcels annually for ready-to-wear and decoration. However, the site is currently only operating at 50% capacity. La Redoute plans to outsource this activity to ID Logistics from June 2025, arguing that this move ensures job sustainability and allows ID Logistics the opportunity to serve other clients, ensuring 100% utilization of the site.
However, the union doesn't see it the same way. They claim that there's no guarantee for employee security and that the collective agreement is less advantageous, particularly concerning wait periods for sick leave. La Redoute disputes these claims, insisting that the employees will keep their salaries, working hours, allowances, and paid leave, even going beyond the legal framework by offering a 2,100 euro gross bonus to the affected employees.
The Big Bucks Question
The unrest doesn't end there. Union delegates are also targeting a hefty 44.5 million euro war chest no one seems ready to part ways with. Originally created in 2014 as a dedicated fund (known as a "fiduciary" in legal terms) to cover social commitments during a previous round of restructuring, it expired one month before the announcement of the Quai 30 outsourcing. Unions suspect a clever ploy by management to secure the funds, and they aim to redirect these funds to the affected employees rather than allowing it to be reinvested into the corporation.
Union's Fight for Worker's Rights
Following Friday's protest, the CGT doesn't rule out continuing the movement. The union argues that returning the funds to La Redoute is essentially robbing the employees and that the funds could easily cover a 100,000 euro payout to the impacted employees.
A quick History Lesson
The attempts to reinvent the retail industry's struggling brands continued as La Redoute faced similar issues after the sinking of Habitat. Now it's time to watch how this battle unfolds as the unions stand firm in their fight for worker's rights.
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(Disclaimer: This article is a creative rewrite of a given source, incorporating limited enrichment insights to add context and enhance readability)
1. The new CEO of La Redoute, Beatrice Hericourt, is facing a collective agreement dispute with the union over the outsourcing of Quai 30, a logistics site.2. The union claims that there's no job security and the collective agreement is less advantageous, particularly concerning wait periods for sick leave, while La Redoute insists that employee benefits will remain the same.3. Another point of contention is a 44.5 million euro fund that the union wants to be redirected to the affected employees instead of being reinvested into the corporation.4. Camille, a union delegate, aims to use this fund to provide a 100,000 euro payout to the impacted employees, arguing that it's not right to rob the employees of their rightful compensation.*5. As the unions continue to flex their demand for worker's rights, the retail industry and the finance sector will be closely watching the events at La Redoute, especially in light of similar issues faced by companies like Habitat in the past.
