Cava producer Freixenet considers layoffs of 25% of workforce

The Catalan Cava producer Freixenet is considering a massive layoff scheme, known as an Employment Regulation File (ERO), citing “challenges” related to climate change. This would affect 180 workers or around 25% of the company’s workforce.

In a statement, Freixenet announces that it has had to take “urgent" measures “to ensure the company’s long-term sustainability, following the period of drought that has caused “severe disruptions” and an “unprecedented crisis” in the sparkling wine sector.  

The ongoing water shortage has also driven up costs and reduced wine production.  

Freixenet assured that the ERO will be approached with a “deep understanding” of its impact and guarantees an “open dialogue” when negotiations with the workers’ representatives begin. 

The news of the ERO comes a year after the company presented a temporary layoff scheme (ERTO), which ended up affecting over 600 employees.

Labor union

CCOO labor unions completely opposed the layoff scheme as it is "unjustified and unacceptable."

Workers urge the company's board management to start negotiating and to look for alternatives to face the impact of climate change in the Cava sparkling wine production.

The union represents over 87% of the company's workforce and warns that they will set in motion a "unionized offensive" to protect all work places. The first action will be to join the May 1 demonstration in Barcelona. Staff say that they have been warning about the effects of the climate emergency in the Cava industry and call for the regulator body to start planning solutions to the climate issue.