There will be no redundancy scheme for employees of Fuchs & Associés Finance, the Aleba and LCGB trade unions have said in a press release.
In mid-July, the Commercial Court placed the company in compulsory liquidation. This followed regulatory breaches sanctioned in 2022. The Luxembourg Financial Sector Supervisory Commission (CSSF) first imposed fines of €537,498.80 and €125,000 for market abuse and breach of reporting requirements for financial market transactions. A fortnight later, a third fine of over one million euros was imposed.
The company had 108.5 full-time equivalent employees in 2021, according to the Trade and Companies Register (RCS). “Sustained steps were taken with the assistance of a law firm to obtain a fair social plan.”
“However, despite the combined efforts of the two unions, and even after intervention by the ONC (Office National de Conciliation), the parties were unable to reach an agreement, and a procès-verbal de non-conciliation was drawn up by the ONC on 17 August 2023,” stated Aleba and the LCGB.
“The staff delegation of Fuchs & Associés Finance S.A., currently in liquidation, strongly condemns the failure of negotiations with the liquidator to put in place a social plan which would have enabled the employees of Fuchs & Associés Finance S.A. to be properly compensated”.
The only remaining option for employees “to assert their rights individually”, according to the trade unions.
The liquidator was approached for comment.
Originally published in French by Paperjam and adapted for Delano