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European Edition
20th November 2024
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THE HOT STORY
Hennessy employees strike over tariffs
Around 500 staff at Hennessy, the cognac maker owned by French luxury giant LVMH, went on strike on Tuesday to protest a plan to potentially bottle the brandy in China to avoid tariffs. Approximately 500-600 staff in the Charente region expressed their concern over the experimental plan. Frederic Merceron, a representative from the FO union, said: "We can well imagine the impact on employment."  The strike, which is open-ended, is indicative of broader fears within the cognac industry regarding potential retaliatory measures from China and the impact on jobs.
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HEALTH & SAFETY
UK delivery riders excluded from new assault laws
Delivery riders for takeaway services in the UK are expected to be excluded from new protections for retail workers under the upcoming Crime and Policing Bill, which aims to address rising levels of violence and abuse. The bill will create a specific offence for assaulting retail workers but will not extend to cover abuse against delivery riders, despite a reported 28% rise in incidents targeting them in the past six months. These incidents include verbal abuse, racism, sexism, and thefts of orders or vehicles. Deliveroo has launched the Right to Ride Safely campaign, urging the government to include delivery riders in the legislation. The campaign highlights the need for better protection and has received backing from the GMB union, the British Retail Consortium, and MPs. A Deliveroo spokesperson said that addressing this issue is crucial as incidents continue to escalate.
STRATEGY
Ericsson CEO laments weak Europe market
Ericsson CEO Börje Ekholm says Europe is one of the weakest telecom markets in the world - and policymakers must encourage more consolidation and cut regulation there or else the Swedish telecom equipment maker will continue to shift investments to overseas markets. “Europe is falling behind,” Ekholm said. “The natural conclusion of that is we’ll be shrinking in Europe and growing in North America.” Relocating Ericsson’s headquarters from Sweden to the US is “always a question that comes up,” he said, observing that Ericsson has deep ties to Sweden, “But, you know, we always need to also look at: How will the world look in the future? So we don’t know . . . Would we relocate at some point in time? That could well happen.”
WORKFORCE
Healthcare strike in Italy threatens 1.2m services
An estimated 1.2m healthcare services will be disrupted due to a 24-hour strike by doctors, nurses, and healthcare executives in Italy today. Organised by the unions Anaao, Cimo, and Nursing Up, the strike will include a rally at Piazza SS Apostoli in Rome. The unions argue that the 2025 budget bill provides "insufficient resources" for staff pay rises and has led to a reduction in overall healthcare funding. They are also protesting against the lack of resources for hiring additional healthcare workers and the need for enhanced security measures in hospitals following a rise in assaults. Emergency procedures will still be guaranteed during the strike.
Temporary workers in the Netherlands get mortgage boost
Starting January 1, 2024, temporary workers in the Netherlands will find it easier to apply for a mortgage, as the required employment period with the same agency is reduced from 52 weeks to 26 weeks. The trade association for intermediaries, NBBU, announced that agencies can issue a “perspective statement” after 26 weeks, indicating the worker's earning potential. NBBU director Marco Bastian said: “It's great that even more temporary workers can now have their own home,” as he highlighted the positive impact on job security. However, banks will still consider other factors when approving loans. Since the introduction of the perspective statement in 2013, over 16,000 requests have been made, with two-thirds approved, leading to more than half resulting in a mortgage. Jurrien Koops, director of the General Association for Temporary Employment Agencies (ABU), noted that this change significantly enhances financial prospects for temporary workers.
Finland's job vacancies hit new low
Finland's job market is experiencing a significant downturn, with job openings falling to 34,600 in the third quarter of this year, a decrease of 7,800 vacancies compared to the same period in 2023. This marks the lowest level of vacancies since 2017, as reported by Statistics Finland. The largest demand remains for practical nurses, caregivers, salespeople, and cleaners. Additionally, the Finnish Immigration Service Migri noted a decline in work-based residence permit applications during the first nine months of this year compared to last year.
TAX
Spain's economy minister lends support to redistribution of wealth
Spain's economy minister, Carlos Cuerpo, has called on G20 leaders to take decisive action towards implementing a global minimum tax on billionaires, highlighting that recent election results are indicative of a popular demand for wealth redistribution. Speaking during a visit to London before the gathering of G20 leaders in Rio de Janeiro this week, Cuerpo said: “There is this moment where you have to be brave and where you just have to do things that you are convinced are right . . . There is an element here of redistribution of wealth that, if we listen carefully to the results of many of the elections that have taken place over the last years, that has been demanded by our citizens, by our population. So we have to somehow respond to that.” In July, finance leaders from every G20 country agreed to “engage cooperatively to ensure that ultra-high-net-worth individuals are effectively taxed.” Cuerpo said he would push to the put this plan on the agenda at the UN development finance summit in Seville next summer.
LEGAL
Volkswagen settles emissions scandal lawsuit
A German law firm has successfully settled a class action lawsuit against Volkswagen on behalf of over 6,000 Slovenian consumers, nearly nine years after the company admitted to emissions fraud. The Slovenian Consumer Association (ZPS) announced the settlement on 19 November, although details regarding the damages or individual payouts remain undisclosed. The ZPS described the outcome as "an important victory for both Slovenian consumers and the ZPS," highlighting the significance of holding corporations accountable. The lawsuit was initiated in March 2018 by the law firm Financialright, as Slovenian legislation did not allow class actions at the time. The ZPS noted that the class action posed no financial risks for consumers, as claims were assigned to the German firm, which covered all expenses. Despite swift actions in the US, ZPS president Breda Kutin identified a lack of efficiency at the EU level in addressing the Dieselgate scandal.
INTERNATIONAL
Hong Kong mothers locked out of job market
According to a survey by the Democratic Alliance for the Betterment and Progress of Hong Kong (DAB), 90% of respondents believe that providing mothers with flexible working hours and enhanced childcare support is crucial for encouraging their return to the workforce. South China Morning Post notes the case of mother-of-two Ding Ding, who left her job due to childcare challenges, and who expressed her desire for a life beyond family obligations, saying: “I do not want to be trapped like living in a bird cage for the rest of my life.” The survey highlights the pressing need for family-friendly policies, as many mothers face difficulties balancing work and childcare. Lawmaker Nixie Lam emphasised that Hong Kong's policies are still in their infancy, saying: “Hong Kong is at kindergarten or even baby level when it comes to family-friendly policies.” The labour shortage in Hong Kong is projected to reach a shortfall of 180,000 workers by 2028.
Foxconn orders India recruiters to drop marital criteria in job ads
HR executives at Apple supplier Foxconn ordered third-party India recruiters to drop age, gender and marital criteria in job ads, sources say. The directive followed a Reuters report which found that Foxconn rejected married women for iPhone assembly jobs - though it relaxed the practice during high-production periods. The resulting changes are evident in a Reuters review of recent India job ads for smartphone assembly roles. Foxconn employs thousands of women at the iPhone factory at Sriperumbudur, near Chennai. The company outsources recruitment of assembly-line workers to third-party vendors, who scout for and screen candidates who ultimately are interviewed and selected by Foxconn.
TSMC sued for allegedly favouring Asian staff
More than a dozen employees of Taiwanese chipmaker TSMC have filed a lawsuit alleging discrimination against non-Asian workers. The suit claims that TSMC, the world's largest contract manufacturer of chips, favours Asian staff in hiring, firing, and workplace standards. Initially filed in August, the case has been refiled as a class action with 13 plaintiffs from diverse backgrounds, including the United States, Mexico, Nigeria, Europe, and Korea. The lawsuit alleges a “hostile work environment” for non-Asian employees, who are reportedly excluded from discussions conducted in Mandarin. TSMC, which has secured significant US funding and operates factories in Arizona, said that it “believes strongly in the value of a diverse workforce.”
Iran announces ‘treatment clinic' for women who defy strict hijab laws
The Iranian government plans to establish a "hijab removal treatment clinic," the Guardian reports. Mehri Talebi Darestani, head of the Women and Family Department, said the clinic will offer “scientific and psychological treatment for hijab removal.” The move has been met with widespread condemnation from activists and human rights groups. Sima Sabet, a UK-based Iranian journalist, said the initiative was “shameful,” and human rights lawyer Hossein Raeesi also condemned the so-called clinic, saying that it contradicts both Islamic and Iranian law. The government's move comes amid reports of increased arrests and human rights violations against women accused of breaching Iran's mandatory dress code.
 


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