NetEnt Malta layoffs on hold until hearing on 17 December
The Maltese court has postponed the redundancies until a hearing on 17 December, after the General Workers Union declared an industrial dispute over the mass layoffs that occurred after Evolution took hold of NetEnt.
Following Evolution Gaming’s acquisition of NetEnt for SEK19.60bn/$2.30bn/€1.91bn, means to alleviate costs were expected, which included the layoff of 324 employees in Malta.
The General Workers Union (GWU), which is Malta’s largest trade union, was disappointed with the fact that NetEnt and Evolution Gaming gave the move the green light without turning to them. They also complained that they have marginalised employees’ capacity to exercise their rights. They further elaborated:
“The GWU decried NetEnt and Evolution Gaming’s anti-union tactics, which it contends are intended to prevent an effective consultation of employees at a critical moment when they are facing potential redundancy days before Christmas.”
The Union states that this is a direct violation of Malta’s Collective Redundancies (Protection of Employment) Regulations, and Transfer of Business (Protection of Employment) Regulations which precisely add protections for merger-related redundancies.
The General Workers Union, who represents a large percentage of NetEnt Malta’s employees, announced an industrial dispute last week, claiming that NetEnt and Evolution failed to acknowledge the importance of the GWU when accomplishing the planned layoffs. Furthermore, the Union proclaimed that the business chose its own representative instead of directly consulting the GWU.
The court has been supporting the GWU’s request for an injunction, the layoffs placed on hold until 17th December.
“Thanks to the Court’s intervention following our urgent request, 324 illegal dismissals have now been put on hold. We will continue to insist that NetEnt and Evolution Gaming honour their consultation obligations in full, and we will do our utmost to ensure that jobs are saved, and, where that is not possible, that appropriate compensation is paid.” Stated a representative.