Orange Polska signed a social agreement with trade unions for 2024-2025, under which up to 1,100 employees will be able to take advantage of voluntary departures. The Management Board initially estimates that the provision for the costs of terminating employment relationships will amount to approximately PLN 130 million, the company announced in a press release.
On December 14, 2023, the management board of Orange Polska completed negotiations with social partners regarding the provisions of the new social contract, which will be valid in 2024-2025. In parallel with the negotiations of the social agreement, negotiations of the agreement for 2024, conducted under the provisions of the Act of March 13, 2003 on special rules for terminating employment relationships with employees for reasons not attributable to employees, were completed.
Voluntary departures in Orange
The social contract for 2024-2025 sets the volume of voluntary departures for the next 2 years at 1,100 people and a financial package for employees leaving Orange Polska as part of voluntary departures.
It also provides for the possibility of pay rises basic salaries (7% in 2024 and not less than 6% in 2025), the amount of additional compensation for employees who will reach retirement age in the next four years, and also determines the place and role of internal mobility with the support of the allocation program.
As part of the negotiated agreement, the limit for departures of Orange Polska employees in 2024 was set at 590, as well as the rules for voluntary departures in 2024 and the amount of severance pay and additional compensation for employees leaving Orange Polska in 2024.
“The signing of the new social agreement is part of the company’s implementation of the strategy, the aim of which is to focus on creating long-term value, including by improving operational efficiency. The company’s management board initially estimates that the provision for the costs of terminating the employment relationship resulting from the above-described agreement will amount to approximately PLN 130 million. Ultimately, the calculation will be included in the results of the fourth quarter of 2023 below the EBITDAaL profit,” Orange Polska wrote in a statement.
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