Up to 11 monthly severance pay. The Turkish owner reached an agreement with the trade unionists

In April this year, the Turkish company Arçelik officially took over Whirlpool in Europe. As a result, a new company, Beko Europe, was established. Arçelik is already a manufacturer of equipment of various brands: Beko, Blomberg, Arctic, Altus, Grundig, Flavel, Leisure, Zenith and Elektrabregenz. Based on production volumes in 2023, the combined share of the European businesses of Whirlpool (home appliances) and Arçelik (small and large home appliances, consumer electronics, air conditioning) makes Beko Europe a major supplier of home appliances in Europe.

Beko Europe is slowing down. There is an agreement with trade unionists from Wrocław

Employees of the company’s Polish plants were happy that the strong position of the new owner would translate into continuity of orders. It happened completely differently: Beko Europe in Poland is planning significant layoffs. At the beginning of September, Beko Europe announced the termination of operations of the plant in Łódź (production of cookers, dryers and plastic components) and the refrigerator factory in Wrocław. Due to the closure of plants, 1.8 thousand people will lose their jobs, including 700 in Wrocław.

Today it was announced that trade unions operating in the Wrocław refrigerator factory have reached an agreement with the management regarding severance pay. “The agreement is based on a severance package for employees covered by restructuring and is the result of Beko’s negotiations with employee representatives and trade unions,” the statement said.

Severance pay in the amount of 11 months’ salary

According to the agreement, employees covered by group layoffs can count on severance pay, the amount of which depends on the length of service.

• An employee with less than 10 years of service experience will receive one severance pay for each full year of service experience and one additional payment in the amount of the minimum wage at the rate planned from January 1, 2024.

• Employees with more than 10 years of service experience will receive 11 severance pay and an additional payment in the amount of the minimum wage at the rate planned from January 1, 2024 for each full year over 10 years of service experience. Bonuses for attendance were also established, regardless of length of service.

Production in the closed Beko plants is to end by the end of April 2025. Other activities: in Radomsko, the cooker factory in Wrocław and the Shared Service Center (SSC) in Łódź, as well as domestic commercial operations will remain unchanged.