Following the General Workers Union declaration of an industrial dispute over the mass layoffs seen after Evolutions acquisition of NetEnt, the Maltese court has held off the redundancies until a hearing on 17 December
Following Evolution Gaming’s acquisition of NetEnt for SEK19.60bn/$2.30bn/€1.91bn, means to mitigate costs were expected which included the layoff of 324 employees in Malta.
The General Workers Union (GWU), Malta’s largest trade union, were disappointed that NetEnt and Evolution Gaming gave the move the green light without consulting them, arguing that they have marginalised employees’ capacity to exercise their rights. They stated:
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 state that this is a violation of Malta’s Collective Redundancies (Protection of Employment) Regulations, and Transfer of Business (Protection of Employment) Regulations which specifically add protections for merger-related redundancies.
The General Workers Union who represent a large percentage of NetEnt Malta’s employees declared an industrial dispute last week claiming that the NetEnt and Evolution failed to acknowledge the significance of the GWU when executing the planned layoffs.
Moreover, the Union argued that the business appointed its own representative instead of directly consulting the GWU.
The court has shown support for the GWU’s request for an injunction, the layoffs placed on hold until 17th December. Given the news, a representative stated:
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.
Source: iGaming Business
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