Vodafone Spain intends to close all 34 of its own-brand physical stores in the country as part of a collective dismissal (ERE) process announced earlier this month, reports Europa Press, citing trade union sources. In total the company is planning to lay off up to 515 workers throughout the country, equivalent to 12 percent of its total workforce of around 4,200, including 237 commercial staff in its stores. According to the report, executives communicated the decision to shut down Vodafone's entire physical store network during initial negotiations with workers’ representatives.
Earlier this month, Vodafone described its decision to dismiss up to 515 workers as an “essential step to face the challenging conditions of the competitive Spanish market”, above all the drift towards low-value rates. It added that the move was justifiable on “economic, productive and organisational” grounds, and that it was looking to promote the areas of innovation, digital and new technologies with a view to capturing new business opportunities.
In May, the company said sales via its online channel had surged 70 percent year on year since the pandemic started, with its website registering 8 million visits a month, up from 4.7 million, while the Mi Vodafone app had also begun incorporating the sale of products and services.
The report adds that the negotiation process is expected to last a month and that Vodafone executives have offered compensation of 33 days’ salary per year worked (up to a maximum of 24 monthly payments) plus early retirement for workers aged over 56. Vodafone said it would be making no comments on the details of the negotiations but that its aim is to reach the best possible agreement for employees and the company alike.
