14 December 2021

Renault Group signs-off on a three-year trade union agreement that places France at the heart of its value-creating activities

  • Three trade unions CFE-CGC, CFDT, and FO (75,8% of all trade union representation) and Renault Group Management have agreed on a three-year trade-union agreement1, ‘Re-Nouveau France 2025’, that will help underpin the Group’s transformation and sustainable performance throughout France.
  • Renault Group is putting France at the heart of its industrial and technological activities by assigning nine new models to French factories and pooling together skills in electric and connected vehicles around engineering centres in France.
  • The Group will hire 2,500 people over the duration of the agreement in addition to 10,000 training and retraining sessions across all business lines; the plan also includes 1,700 voluntary redundancy packages.

Boulogne-Billancourt, 14th December 2021 – Today, the representative trade union organisations – CFE-CGC, CFDT, and FO – and Management signed a pluri-annual trade union agreement for France. The agreement is the fruit of several months of negotiations and entitled ‘Re-Nouveau France 2025’ and will be in effect for the period 2022-2024. It demonstrates Renault Group's strong commitment to anchoring the Group’s future industrial and R&D activities in electric mobility, connectivity, hydrogen, and digital technology in France.

An ambitious project for future activity in France

Under the terms of the agreement, Renault Group will base production of nine new vehicles – the majority of which are 100 % electric – in France, with the ambition of producing more than 700,000 vehicles per year.

To this effect, the Group will assign the Renault ElectriCity hub with production of Megane E-TECH Electric, the future Renault 5 Electric, the All-New Kangoo Electric, a future electric SUV, and a new vehicle that is still in its early stages. The Dieppe and Sandouville plants will respectively produce the new Alpine and New Electric Traffic. The Batilly factory will take on production of both the vehicle replacing Master and another from one of the Group’s partners.

The future 100kW electric motor and its entire value chain are assigned to the Cléon plant, while Le Mans will take on production of the chassis work for the new vehicles.

In line with the Renaulution strategic plan, the agreement also provides that all the skills needed to design electric and connected vehicles, and future mobility service, will be concentrated at French engineering facilities.

Finally, the agreement stipulates that Renault Group shall not close sites covered by scope of the agreement (industrial, logistics, parts and accessories) nor shall it close the technical engineering facilities in Lardy and Aubevoye.

At the same time, Renault Group will halve its tertiary office space in Île-de-France by 2025, to account of new working practices.

Transforming jobs and skills to better serve the new automotive value chain

To be at the forefront of future mobility, the Group must acquire new skills and commits to hiring 2,500 staff in France over the agreement’s three-year span, of which 2,000 will be in factories and 500 in engineering and tertiary functions, with a push to continue the Group’s policy of hiring young recruits.

The Group will organise 10,000 training and retraining courses to prepare employees with the right skills for the new automotive value chain, in particular via the ReKnow University that will operate across several campuses throughout France.

The company is also continuing to adapt its workforce and will oversee 1,700 voluntary departure packages in engineering and support functions over the duration of the agreement.

To further underpin its ambitions, Renault Group will adjust and streamline how working time is organised to sustainably strengthen the company's overall performance.

A modern, motivating, and rewarding work environment

During the agreement, the Group commits to carry out annual wage negotiations that will reflect both the French labour market and the company's financial situation.

Moreover, a first round of negotiations will be held in the 1st half of 2022 and incorporate a three-year profit-sharing scheme based on both the Group's profits and profit levels of local establishments.

By late 2022 at the earliest, social partners have also committed to reflect on the quality of life at work and hold further joint discussions on health and welfare coverage in order to modernise existing systems.

The ‘Re-Nouveau France 2025’ agreement will shape the near future for Renault Group as it makes France the strategic and industrial centre for its future-forward business, thereby helping the Group bolster forces in its homeland, drive its transformation, and bring all French business closer to the new automotive industry value chain.

 

1 The agreement’s scope includes the following: Etablissements Renault S.A.S., Meyzieu, Maubeuge Construction Automobile (MCA), Alpine Cars, Société des Automobiles Alpine, Sofrastock International, Société de Véhicules Automobiles de Batilly (SOVAB), Société de Transmissions Automatiques (STA), SODICAM2, Renault Digital, Renault Software Labs.

Renault Group is leading the charge when it comes to reinventing mobility. Leveraging its alliance with Nissan and Mitsubishi Motors, and its unique expertise in electrification, Renault Group builds on the complementary nature of its five brands – Renault, Dacia, LADA, Alpine, and Mobilize – to offer sustainable, innovative mobility solutions to its customers. Present in more than 130 countries, the Group sold 2.9 million vehicles in 2020. With more than 170,000 employees who are the daily living proof of the Group’s Purpose, it creates mobility that brings us closer together. Ready overcome challenges on the road and the racetrack, the Group is committed to achieving an ambitious and value-generating transformation. An ambition that will be centred around developing new technology, new services, and a new competitive range of vehicles with a balanced mix of electric models. Renault Group is driven by environmental matters, and as such, aims to achieve carbon neutrality in Europe by 2040. https://group.renault.com/en/

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