Unite the Union

Unite the Union

January 22, 2008 06:35 ET

Unite Comment on Quebecor's Decision to File for Bankruptcy Protection in the USA and Canada

LONDON, UNITED KINGDOM--(Marketwire - Jan. 22, 2008) - Commenting on the decision of Quebecor World Inc. to file for creditor protection following its inability to refinance its business to meet the demands of its debt requirements, Unite the union, the UK's union for graphical workers said it was "extremely concerned and worried at the development."

Unite Assistant General Secretary, Tony Burke, said: "The company has been in negotiations to seek refinancing but these deals have collapsed. Last week a meeting of unions with members in Quebecor World, through Union Network International from the UK, France, Canada, Spain and Belgium said they wanted a 'viable company' and demanded an urgent meeting with senior directors and a re-calling of the companies European Works Council to get answers as to what is going on.

"The only communication our members have had is a letter from the CEO Jacques Mallette in Canada advising that the bankruptcy protection only covers the USA and Canada and its 'business as usual' in its European, Asian and Latin American companies. Yet Jacques Mallette has said the decision to file for bankruptcy is the result of 'industry pressures, particularly in Europe' - combined with the inability of the company to raise new capital in the current market environment and its inability to complete the sale of its European operations. No wonder our members in Corby and elsewhere are confused and deeply concerned about the future."

The CEO in his letter to staff says that this is a "time to avoid speculation and rumours". The fact that the company has failed to communicate with its own workforce and unions has lead to speculation, rumour and uncertainty.

Unite FOC at Quebecor World Corby, Martyn Reuby said: "Our members and their families want a clear understanding of what is going on and where this decision leaves them. To do this we need a meeting at top level and for the workforce to be fully informed and consulted in a proper and meaningful way. A letter from Canada just won't do that."

Contact Information

  • Unite Press Office
    Tony Burke
    07831 659939
    or
    Unite Press Office
    Ashraf Choudhury
    020 7420 8914 or 07980 224761