Imperial Tobacco unit to cut 613 jobs in Spain

12th March 2009, Comments 0 comments

The 10 percent reduction in the company’s workforce is part of the restructuring plan due to the Altadis takeover.

MADRID – Tobacco company Altadis, a unit of Britain's Imperial Tobacco, said Wednesday it had reached an agreement with unions to reduce its workforce by 613 people, or 10 percent, in Spain.

The company will cut 780 jobs in Spain but will create 167 new posts at its plants in Logrono and Cantabria in northern Spain for a net loss of 613 jobs, it said in a statement.

The cuts are part of the restructuring plan which Imperial Tobacco presented in June 2008 after it completed its acquisition of Altadis, which makes Fortune, Gitanes and Ducados brands, for EUR 12.8 billion.

"The reorganisation will strengthen Spain as a key country for Imperial Tobacco as both a market and a producer with the consolidation of the two sites at Logrono and Cantabria," the statement said.

The staff cuts are accompanied by the introduction of an early retirement plan as well as incentives for the voluntary departure of workers and the internal deployment of staff.

In 2008, Imperial Tobacco said the Altadis takeover would bring roughly 2,440 job cuts throughout the company.

AFP / Expatica

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