Government backing for SeaFrance rescue receives a cool response
January 4, 2012
The French government’s backing for a bid from a co-operative of SeaFrance workers to take over the ailing cross-Channel operator got a cool response from unions and staff yesterday.
The initiative, which amounts to a u-turn in the government’s stance, resulted in the Paris commercial court postponing a hearing on the bid until 9 January to take into account the state’s new position.
A lawyer representing the co-operative criticised the government’s idea to make redundancy payments to SeaFrance staff available to provide finance for the project, saying it was incompatible with the takeover bid.
“Redundancy payments would only be available if SeaFrance was liquidated,” he said. “The co-op’s project is a takeover of the company as it stands [four vessels and its 880-strong permanent workforce].
“What we are are looking for from the government and [SeaFrance’s parent, state rail operator] SNCF is financial support in another form, and there is scope for this to be done without contravening EU regulations.”
The only promise of capital the co-operative has received to date has come from local authorities in the Calais region of around €15 million. It needs around €50 million to fund the takeover.
“The local authorities have suggested creating a mixed capital company that would acquire SeaFrance’s vessels from the co-operative and lease them back. This is something we support, rather than have SNCF undertake the role, provision for which is made in the government’s plans,” the lawyer added.
Feedback from SeaFrance’s base in Calais suggests that a good number of workers are sceptical of the government’s plans, and not willing to contribute their severance payments – which could be between €50,000 and €60,000 each – to the co-operative.
A spokesman for SeaFrance’s main staff union, the CFDT, which is piloting the co-operative’s bid, admitted that some workers might decide to take the money and look for another job.
Branches of the CGT union, which represents merchant seamen and other maritime and transport staff, denounced the government’s intervention as “a political manoeuvre.”
“Last week, the Minister of Transport expressed his opposition to the co-operative’s bid for SeaFrance. But on Monday, under pressure from the presidential palace, it became an honourable project that must be supported, but without any investment from the state,” it said in a statement.
The next few days will reveal just how many SeaFrance workers are ready to put their redundancy payments into the co-operative and whether the government and unions piloting the co-op’s bid can agree on proposals to to be presented to the commercial court next week to save the company.
Courtesy of IFW
