DSV Panalpina to sack staff over head office relocation, continues talks with staff

Atlas Air/Panalpina

DSV Panalpina is continuing negotiations with employees that will lose their jobs as a result of a headquarter move from Basel to Copenhagen, but will miss the initial deadline for the talks’ completion.

In an update, the company said that while both intent and hope were to arrive at a mutually-agreed social plan within the announced timeline, unfortunately, the parties have not been able to reach an agreement, yet.

The headquarter move follows DSV’s takeover of Panalpina earlier this year.

“During the last two weeks, however, negotiations have resulted in a better understanding of expectations on both sides, and, as a result, significant improvements have been made to DSV Panalpina’s original proposal,” the company said.

“The company is still in dialogue with employee representatives and continues negotiations. If, ultimately, negotiations remain unsuccessful, the next step is arbitration, which means an additional long period of uncertainty.”

In October, the company warned that the re-location could result in the loss of up to 156 jobs.

In the meantime, the company said that it would voluntarily implement the measure proposed in the latest offer, including career coaching, workshops, a career centre, counseling and referral to key staffing companies.

In addition, DSV Panalpina said it is prepared to grant severance payments and other benefits that support the vulnerable employee group. This includes severance pay of 2-6 months, financial support for early retirement, additional consideration in hardship cases and trying to place redundant employees on garden leave. The voluntary social plan will not be released in its entirety as the company remains open to further negotiations

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