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Philip Morris
- Credit: Source: Wikimedia Commons/Picture Posters by Charles Hiatt/Linley Sambourne.
Business
employees
higher severance pay
old contract versus new method
Philip MOrris
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severance pay
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Wednesday, 7 May 2014 - 15:19
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Philip Morris, unions deal on lay-off package

Cigarette manufacturer Philip Morris must compensate for its workers according to the old contract. The company says that this means the severance pay for the affected workers is about 30 percent higher than via the current valid calculation method. The company also states that employees who remain without a job for longer, will receive extra pay that can amount to 35 percent of their yearly salary. Further, the company pulls out €6500 per person to help employees find a new job. This is all part of the lay-off package that Philip Morris will discuss with unions on the 14th of May. The shutting of the factory in Bergen op Zoom has led around 1230 of he 1371 employees to lose their jobs.

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