Audi Brussels' management and unions have failed to agree on a common social plan, with worker representatives rejecting the company's latest and sixth offer.
Management expressed deep regret over this decision and announced it would directly address workers with what it considers a "very fair offer".
On Thursday the supervisory board of Audi Brussels announced its decision to end the information and consultation phase of the collective dismissal procedure.
"Our goal was to complete the information and consultation phase with social partners and achieve a social plan for the workers," commented Audi Brussels spokesperson, Peter D'Hoore. "Unfortunately, the social partners have rejected a sixth, further improved offer from management. We deeply regret this," he added.
In July, Audi Brussels announced plans to restructure its site in Forest which currently employs around 3,000 people. The German carmaker cited a slowdown in demand for the electric Q8 e-tron models produced in Brussels.
By September, the Volkswagen Group (which owns Audi) confirmed that it was not planning to produce any car models at its Forest site. Audi Brussels says it can find no other economically viable use for the plant.
Protestors pictured during a demonstration by Audi Brussels workers supported by the national trade union in solidarity, on Monday 16 September 2024 in Brussels. Credit: Belga / Dirk Waem
Negotiations on a social plan for workers facing redundancy began on 1 October. The first offer included a closure bonus, but led to a brief spontaneous work stoppage due to union discontent.
In early November, a new social plan was presented and received more favourably. This plan included closure bonuses and early retirement options for the approximately 3,000 workers at the plant, which is set to cease production at the end of February.
Despite the ongoing negotiations, the talks ultimately broke down after the sixth and final proposal from management. The company will now bypass the unions to present the offer directly to the workers.
Alongside the legal redundancy payment, Audi is adding its voluntary bonus based on workers' tenure. This would mean the company is spending more than double the legally required amount on redundancy payments, highlighted spokesperson Peter D'hoore.
A worker with 17 years of service would receive between €125,000 and €190,000 gross (including Audi's voluntary bonus and the legal redundancy payment), depending on their position and salary, D'hoore illustrated.
"We are confident that workers will recognise the quality of our offer and accept it," added the spokesperson.
The rejection by unions also invalidates other parts of the social plan. This makes it impossible for Audi to offer a complementary unemployment scheme with company supplement (RCC) for employees over 60, limiting them to the legal RCC scheme.
Disappointment and frustration
Gerd Walker, a board member of Audi AG and head of production, expressed disappointment at the lack of a joint conclusion and stated the company's willingness to compromise until the end.
"We stand by our commitment and will voluntarily offer each worker an individual and fair redundancy payment in addition to the legal compensation, aiming to support our colleagues as they transition to new career opportunities," he concluded.
Union representative Jan Baetens (ACV Metea) acknowledged that the November proposal "deserved a debate". However, unions' counter-proposal was dismissed by management, causing significant frustration among staff.
The situation led to a stalemate in negotiations, with police escorting management out of the Forest plant.
Management condemned "employee protests that led to violence", while unions cited "a deep breakdown of trust".
