France: the Supreme Court renders two rulings on restructurings in transnational groups

Two decisions rendered on September 23, 2008 by the French Supreme Court illustrate the possibilities, but also the limits, of European laws on restructurings. In one of the cases, the high court refused to take into account the Italian workforce for the development of a collective dismissal in a French branch. In the other, it accepted, still as part of the redundancy plan, that the liquidator beings before the court of first instance (TGI) other companies of the group which has its headquarters in Germany and Italy. (Ref. 080759)
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Assessment of the workforce for the establishment of a redundancy plan. The Banca Nazionale Del Lavoro has its head company in Rome but also owns a branch in Paris. The latter, which is experiencing financial difficulties, started to lay people off. Should these layoffs be included in a PSE, mandatory in companies with more than 50 employees and which dismiss at least ten people in one year? The court of appeal of Paris answered yes, since the legal workforce thresholds must take into account “

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