Caterpillar factory closure: genuine social dialogue needed

“The closure of the Belgian Caterpillar plant is a painful reminder of the fact that there is a lack of social dialogue in many of the multinational companies present in Europe”, said Claude Rolin MEP on the occasion of a plenary debate on the announced closure of the Caterpillar plant in Gosselies. “In a European social market economy, large companies have a social and moral responsibility.”

“Caterpillar, but also other multinationals that lay off a workforce, have the responsibility to consult with the workforce and regional and national authorities. If a closure or downsizing is unavoidable, the employer should shoulder the responsibility of reconverting its employees so they can more easily find new jobs. Full use should be made of the financial help offered by Europe such as the European Globalisation Adjustment Fund.”

Rolin continued: “The Caterpillar closure is symptomatic of the ongoing deindustrialisation of Belgium and many other European countries. The only way to counter this downward trend is to attract new private investments and to make it easier for Member States to invest in certain sectors by allowing a more flexible interpretation of the EU budget rules.”

In early September, the US heavy equipment producer Caterpillar announced the closure of its Belgian manufacturing site, resulting in a collective lay-off of over 2,000 workers and the closure of the Belgian Gosselies site. The cuts at Caterpillar threaten a further 4,000 jobs with subcontractors.