Crisis in the company

Emco will send its chippers to the AMS in future

The Emco management and the works council signed an agreement.

(Bild: Tschepp Markus)

The metalworking company has announced major restructuring measures. A "reorganizer" has been appointed. The first details have now emerged, calling exclusively on staff to make savings. And: the company also wants to have its employees provided for at state expense.

As the "Krone" already reported, the Hallein-based turning and milling machine manufacturer Emco is in an economic crisis. A "restructurer" has been appointed to assist the management. Initial measures are now to reduce personnel costs and initiate a recovery.

According to an internal paper obtained by "Krone", three cuts have been made:

In the so-called flex model, it has already been agreed with the works council that in future all employees will be able to take up to four days off with an aliquot reduction in pay. Every employee is to sign this agreement.

What is more exciting is that in certain cases, the employment relationship is to be terminated in agreement with the employees, with a simultaneous, legally binding promise of reinstatement. Specifically, the management states: "You will not lose any of your current entitlements. During the interruption, you will receive unemployment benefits from the AMS." In addition, only a 3.3% increase is granted in the collective wage agreement instead of the negotiated 4.8%.