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10 December 2020
Great Britain: Just Eat shakes up the gig economy by offering its drivers an hourly wage
After recently adopting a similar approach in other European countries, the mobile app-based home food delivery giant Just Eat is starting to end its practice of paying per completed job. This gig economy arena revolution means Just Eat drivers can earn at least the minimum hourly wage and enjoy social benefits rights. Between now and March, more than 1,000 employment contracts will be created in London, be they part-time, full-time, or zero hour contracts (i.e. those that guarantee neither working time nor...
Gig workers and the regulation of platforms
14 May 2020
Germany: Volkswagen reduces the ‘guaranteed salary’ it promised to 18,000 managers
On 13 May Volkswagen’s middle management (some 18,000 mangers) learned that the variable part of their salaries would be reduced in 2020, due to the collapse of the group’s revenues since the development of the coronavirus pandemic. At the same time, the German auto-manufacturer announced that after having restarted production at the end of April, it was going to slow down production again because of very low demand. This variable salary element is being phased out just one year after the introduction...
Managing the fallout of Covid-19
29 April 2020
In the face of Covid-19, ENGIE accelerates implementation of the first pillars of its future social protection program
Faced with the ‘unprecedented consequences of the Covid-19 health crisis’, the energy company sought to accelerate the implementation of two of its ENGIE CARE minimum social protection programme pillars. ENGIE CARE will be included in the future global CSR agreement currently under negotiation with the international trade union federations. The Group program will cover hospitalization costs in full for Covid-19 and at least 75% for other conditions as well as life insurance equivalent to 12 months of gross...
Managing the fallout of Covid-19
16 April 2020
United Kingdom: 1 in 4 executives at FTSE 100 firms take pay cut amid coronavirus crisis (study)
In order to combat the Covid-19 health crisis, 25 of the 100 companies listed on the UK’s flagship FTSE 100 index have cut executive pay, according to a study conducted by the High Pay Centre think tank and the Press Association, which was published on 14 April. The majority of these pay cuts are at the 20% mark, however many groups have gone a step further, such as the hygiene services company Rentokil, the CEO of which reduced their pay packet by 35%. Luke Hildyard, director of the High Pay Centre, says:...
Managing the fallout of Covid-19
16 April 2020
Spain: Inditex group to keep paying all employees in April despite closure of all its stores
Spanish clothing giant Inditex, which owns the retailer Zara, does not plan to make use of the extraordinary temporary lay-off measure (ERTE) that would allow it to claim special aid from the Spanish state, as it deals with the decline in business volumes amid the Covid-19 pandemic. The group’s management has announced to employee representatives that, during the month of April, it alone will bear the cost of closing its 1,580 stores in Spain and the halt to sales. It will therefore pay all salaries during this...
Managing the fallout of Covid-19
10 April 2020
United Kingdom: BT hands pay rise to non-management staff amid Covid-19 crisis
With demand for telecommunications services having skyrocketed during the Covid-19 pandemic, giant of the UK sector BT has expressed its gratitude to staff by handing a 1.5% pay rise to the majority of its workforce, effective from 1 July. The pay rise goes to 58,000 non-management employees, particularly technicians and call centre workers. Furthermore, BT has promised that none of its employees will lose their jobs over the next three months and that all staff members will still get 100% of their pay, even if...
Managing the fallout of Covid-19
8 April 2020
Great Britain: audit firms using sabbatical leave to deal with the coronavirus crisis
In order to lessen the financial impact of the health crisis, audit and consulting firms are looking into the idea of the sabbatical leave option. Thus, professional services firm Grant Thornton has invited its employees to voluntarily choose between one of these two options by April 10, (i) take sabbatical leave until the end of June, during which they will receive 30% of their salary, or (ii) opt for a 40% reduction in their hours and pay until the end of May. Grant Thornton UK said, “These are clearly...
Managing the fallout of Covid-19
2 April 2020
Sodexo: launches a global employee support program with financing from senior group executives
In a press statement released on 02 April, French food services and facilities management company Sodexo announced, ‘Despite all our efforts, we know that this once-in-a-lifetime crisis currently confronting us will regrettably mean lay-offs for some of our on-site staff in some countries, while strictly adhering to local employment legislation. As a result, we have decided to establish a global Sodexo Employee Relief Program to help on-site staff, who face layoffs.’ The global program will be administered...
Managing the fallout of Covid-19
1 April 2020
Enel: implements insurance cover for all staff globally who need Covid-19 related hospitalization
On 26 March 2020, Italian energy company, Enel Group announced an agreement was signed with the professional services and financial risk-mitigation firm Aon SpA to provide a “Covid-19 Insurance Policy” for all its 68,000 employees worldwide. In the press release, it specified that this insurance was specifically designed to meet Enel Group’s needs and that it represented a pioneering initiative aimed at guaranteeing transnational support against the ongoing global health emergency. The policy...
Managing the fallout of Covid-19