The Michelin Group informed this morning employee representatives and representative union organizations of a project aimed at adapting its employee base in France, based solely on a voluntary approach.
A necessary staffing reduction in a highly unstable economic environment
In a global environment marked by shrewd international competition and heightened macroeconomic and geopolitical tensions, the Michelin Group is pursuing efforts to sustainably improve its performance.
In addition, the domestic context is also marked by strong economic and regulatory constraints: high production costs, due notably to labor and energy costs, as well as tax pressures that are among the highest in industrialized countries.
This staffing reduction project in France is aimed at optimizing a cost structure that is too high today, supporting métier changes in the workplace and simplifying the company’s functioning modes.
A personalized support program over three years, with no involuntary terminations
Solely based on a voluntary approach and with no involuntary terminations, the support program would offer personalized paths. Up to 1,500 positions could be impacted over a three-year period, of which two-thirds from the tertiary functions and a third from the industrial sector.
As a result, Michelin will be negotiating an employment and professional paths management agreement (GEPP per its French acronym), which will be complemented by external mobility options through annual collective mutual termination agreements (RCC per its French acronym).
The support program would offer personalized paths for internal or external mobility, reskilling and training toward jobs of the future.
Michelin is committed to supporting each impacted employee in a personalized approach, in light of each person’s professional path and choices, and individual situation.
France and its communities are at the heart of Michelin
This approach has nothing to do with the teams’ engagement and does not call into question France’s strategic role within the Group. Michelin employs nearly 17,000 people in France and plans to continue to hire there.
In the country, the Group boasts its global headquarters, its worldwide R&D center, as well as 13 industrial sites. This foundation is supported by sustained investment efforts with nearly €4 billion invested over the past decade.
Locally, these efforts materialize through numerous concrete projects, like the Michelin Innovation Park where its historical Cataroux plant site is being transformed into new innovation and social areas, thereby supporting the Clermont-Ferrand community’s economy and jobs.
About Michelin
Michelin is building a world-leading manufacturer of life-changing composites and experiences. Pioneering engineered materials for more than 130 years, Michelin is uniquely positioned to make decisive contributions to human progress and to a more sustainable world.
Drawing on its deep know-how in polymer composites, Michelin is constantly innovating to manufacture high-quality tires and components for critical applications in demanding fields as varied as mobility, construction, aeronautics, low-carbon energies, and healthcare.
The care placed in its products and deep customer knowledge inspire Michelin to offer the finest experiences. This spans from providing data- and AI-based connected solutions for professional fleets to recommending outstanding restaurants and hotels curated by the MICHELIN Guide.
Headquartered in Clermont-Ferrand, France, Michelin is present in 175 countries and employs 129,800 people.