Thursday, February 2, 2017

EDF will increase its headcount reductions – The Echoes

EDF increases the stroke of the bar that he had given a year ago on its workforce. By the end of 2019, the group’s management intends to reduce the workforce of EDF in France (68.460 employees at the end of 2016, excluding subsidiaries) ” approximately 6 % “, which would make them around 64.350. Compared to the end of 2015 (71.580 employees statutory and non-statutory), the decrease would amount to approximately 10 %. The trade unions evoke the bases of the numbers below (as based on the only effective statutory), but developments close. It was just a year ago, the CEO of EDF, Jean-Bernard Lévy, had announced a reduction in headcount of 5 % in three years (by end of 2018).

Under the mandate of Henri Proglio, EDF had seen its numbers climb sharply, with a replacement rate of average 180 %, intended at the time to ensure the renewal of generations in its nuclear power plants. Since his arrival at the head of EDF at the end of 2014, Jean-Bernard Lévy has changed the tendency, under the effect of a heavy degradation of the economic environment of EDF.

at the End of 2016, the electrician announced a forecast of the gross operating surplus between $ 13.7 and $ 14.3 billion euros, down 20 % in two years. The price at which EDF sells its electricity have fallen considerably, and the group has lost market share and margins, in particular because of the end of regulated tariffs for businesses and local authorities. The direction of Trade is thus one of the branches most affected. The profitability of the French giant has also suffered as a result of controls on its nuclear facilities this fall, which have caused him to lose about 30 terawatt-hours of nuclear generation (read below) last year.

Close the shops

The group therefore seeks new sources of savings. It comes in particular to announce a plan to close its stores by the end of 2019, which alone should affect 420 employees (” Les Echos ” from January 19). The job cuts will be made without redundancy, thanks to the retirements. According to one source union, over 2,300 retirements will be recorded this year. They will reduce then to less than 1,800 by 2019.

The trade unions have criticised on Thursday after the central committee of a company, in a year the ” the trajectory of the workforce over the period 2016-2019 worsens 2,000 jobs “, also asking ” a new regulation of the sector [...] to put an end to the negative spiral “. In November, the CGT, FO and CFDT signed a company agreement providing for financial measures to speed up retirements and a leave of absence to the end of their career on the basis of volunteerism, which would allow an employee to reach a replacement income for three years until his retirement. It would, according to the CMC, which has not initialled, of 3,500 to 4,000 positions (purchasing, legal, accounting, etc.) by the end of 2018.

EDF has indicated that it will hire some 1,500 people this year, and 1,000 next year.The group set a modest goal of reducing costs by 1 billion euros by 2019 on the basis of the costs of 2015 (about 22 billion euros). Apart from EDF SA, the staff of the other subsidiaries of the electrician in France (EDF, Dalkia, Enedis…) should remain broadly stable by the end of 2019. Has the international, certain of its subsidiaries (including EDF Energy in the uk) has already recorded staff reductions.

Veronique Le Billon, Les Echos

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