News Article
SOITEC act on declining market
Soitec initiates a responsible short and medium term job management plan in response to the current economic climate
Soitec has announced that the Group has initiated a responsible short and medium term job management plan in collaboration with the Group’s workers' representatives in France. As part of the plan, the company recently presented to workers’ representatives proposals to leverage the recently announced employment agreement with Minalogic, following December 30, 2006 law on career security. According to this agreement, Soitec can make some of its employees available to the Grenoble Competitiveness Cluster. This arrangement will allow Soitec and the Grenoble region to retain skills connected with the microelectronics industry.
The company also presented incentives to encourage voluntary redundancies and support employees who wish to explore other professional projects or start their own business. The Group aims at adjusting its cost structure rapidly across all sites. Planned measures would result in reducing total headcount by less than 10% as of March 31, 2009.
The Group stated that this headcount adjustment plan would complement a series of measures already implemented to bring spending quickly in line with current demand. Such measures include the cost reduction plan launched in April 2008, the voluntary reduction of management salaries, withheld bonus payouts related to the company's anticipated results, and the systematic use of short-time working implemented since February 2009.
The objective of overall measures, either already implemented or planned, is to preserve the Group’s ability to rebound while adjusting its job structure to the short and medium term needs identified.
Planned measures demonstrate Soitec's determination to maintain and strengthen its R&D and industrialization skills with the support of its historical partners in Grenoble. They are also designed to respond to the common and shared interests of the Group's employees, customers, partners and shareholders and allow Soitec to continue implementing its strategy dedicated to the innovation and industrialization of advanced materials.
The company also presented incentives to encourage voluntary redundancies and support employees who wish to explore other professional projects or start their own business. The Group aims at adjusting its cost structure rapidly across all sites. Planned measures would result in reducing total headcount by less than 10% as of March 31, 2009.
The Group stated that this headcount adjustment plan would complement a series of measures already implemented to bring spending quickly in line with current demand. Such measures include the cost reduction plan launched in April 2008, the voluntary reduction of management salaries, withheld bonus payouts related to the company's anticipated results, and the systematic use of short-time working implemented since February 2009.
The objective of overall measures, either already implemented or planned, is to preserve the Group’s ability to rebound while adjusting its job structure to the short and medium term needs identified.
Planned measures demonstrate Soitec's determination to maintain and strengthen its R&D and industrialization skills with the support of its historical partners in Grenoble. They are also designed to respond to the common and shared interests of the Group's employees, customers, partners and shareholders and allow Soitec to continue implementing its strategy dedicated to the innovation and industrialization of advanced materials.
