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Galeria Kaufhof bankruptcy – employees get so little money after being thrown out

2023-01-31T16:53:52.263Z


Decision on locations of Galeria Kaufhof postponed. The amount of the severance payment for employees is now being confirmed by the works council. Even in secured branches, there is still a risk of layoffs.


Decision on locations of Galeria Kaufhof postponed.

The amount of the severance payment for employees is now being confirmed by the works council.

Even in secured branches, there is still a risk of layoffs.

It is still not entirely clear which Galeria Karstadt Kaufhof locations will have to close.

Most recently, a report including a study and insider statements revealed which branches are likely to be closed and which still have a future, as

echo24.de

reported.

It is now clear how much money employees should receive as severance pay if they are laid off after the bankruptcy.

Just a few days ago, Galeria Kaufhof published a press release stating that the Galeria management and the general works council had agreed on the first key points in negotiations on a reconciliation of interests and a social plan.

Now it is clear what is in the agreement.

What is still missing are the decisions on the locations.

As early as December, our editorial team asked us to clarify things in January.

That's how much money Galeria employees get as severance pay

As the "Handelsblatt" now writes (text behind the payment barrier), the reconciliation of interests determines how high the severance pay for employees is.

The report mentions two monthly salaries.

However, there will be a maximum of 7,500 euros in the event of a dismissal.

The sum was confirmed to the specialist magazine by the general works council chairman, Jürgen Ettl.

Company:

Galeria Kaufhof

CEO:

Miguel Mullenbach

Founding:

1879, Stralsund

Founder:

Leonard Tietz

An article in the news portal "t-online.de" citing the "Handelsblatt" text reports on 81 Galeria Kaufhof locations that the company

"does not want to continue"

.

It goes on to say:

“According to the circles, a corresponding list should be attached to the reconciliation of interests, according to the report.

If there are no short-term changes, only 48 of the 129 houses will remain with Galeria

Further staff cuts are threatened at almost all Galeria Kaufhof locations

But, according to the “Handelsblatt”, branches that are not on the cross-off list would also have to expect staff reductions.

This could also hit Galeria Kaufhof in Heilbronn.

According to

echo24.de

, the location is on a list that could lead to rescue, but layoffs could still be imminent.

As the "Westdeutsche Allgemeine Zeitung" (WAZ) writes on the subject (article behind the payment barrier), the employees will probably only

"find out in March how many department stores will be closed".

What's next for Galeria 2.0?

It will also remain interesting to see how the company is pursuing its plans for the new Galeria 2.0 concept.

Galeria Kaufhof had commented

on corresponding measures to

echo24.de .

Three

Those responsible see types of branches for different locations in the future.

List of rubrics: © dpa/ Waltraud Grubitzsch

Source: merkur

All life articles on 2023-01-31

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