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2022 / 2023 Edition

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Lafarge and Holcim reorganize group functions

Companies to shed 500 central function jobs worldwide in preparation for proposed merger

LAFARGE and Holcim have announced that the reorganization of both firms’ group functions in preparation for their proposed merger will lead to approximately 500 net job losses worldwide, including 166 in France and 120 in Switzerland.

The reorganization procedure is the latest key phase in preparations for the creation of the new LafargeHolcim Group, with the objective of creating a lean, decentralized organization with empowered countries, regional management platforms, and corporate functions for the combined company.

Worldwide, the proposed new organization of the central functions will result in approximately 380 net job losses at Lafarge, with 166 of these in Paris and Lyon, and a net reduction of approximately 120 positions in Holcim Group functions in Switzerland. After the reorganization, an equivalent number of central function personnel will be based in France and Switzerland.

Social consultation processes to reduce the impact on roles affected by the reductions are now being launched with the employee representatives of both companies. Lafarge say social support measures that will be negotiated with their employee representatives will mostly consist of solutions based on internal mobility, early retirement and (in France) voluntary departures.

Completion of the proposed merger is expected to take place in July 2015, subject to the acceptance of Holcim’s public exchange offer by shareholders of Lafarge, while implementation of the new organization is expected in early 2016 after completion of all relevant social consultations in Switzerland and France.

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