Fact Check: The collective bargaining agreement states that in the event of layoffs associated with disposing of its Ivory Coast business, Unilever will give employees severance pay equal to 'one month of average gross salary per year of seniority, with a maximum of 18 months.'

Fact Check: The collective bargaining agreement states that in the event of layoffs associated with disposing of its Ivory Coast business, Unilever will give employees severance pay equal to 'one month of average gross salary per year of seniority, with a maximum of 18 months.'

Published June 14, 2025
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# Fact Check: "The collective bargaining agreement states that in the event of layoffs associated with disposing of its Ivory Coast business, Unilever...

Fact Check: "The collective bargaining agreement states that in the event of layoffs associated with disposing of its Ivory Coast business, Unilever will give employees severance pay equal to 'one month of average gross salary per year of seniority, with a maximum of 18 months.'"

What We Know

The claim regarding Unilever's collective bargaining agreement in Ivory Coast is supported by multiple sources. According to a report by Reuters, the collective bargaining agreement, originally established in 2004 and renewed in 2007, indeed stipulates that employees are entitled to severance pay of "one month of average gross salary per year of seniority, with a maximum of 18 months" in the event of layoffs linked to the sale of the business. This agreement also includes provisions for six months of medical coverage for affected employees.

Further corroboration comes from Yahoo Finance, which reiterates the severance pay terms outlined in the collective bargaining agreement. Additionally, The Workers Rights highlights the same severance pay structure, confirming that it remains valid despite Unilever's ongoing negotiations to sell its local operations.

Analysis

The evidence presented from various sources strongly supports the claim that Unilever's collective bargaining agreement includes specific severance pay terms. The reliability of these sources is high, as they include reputable news organizations and labor rights advocacy platforms. For instance, Reuters is known for its rigorous fact-checking and journalistic standards, making their reporting on labor issues credible.

However, Unilever has contested the applicability of this agreement, arguing that the sale of shares does not equate to the termination of employment contracts, thus negating the obligation to pay severance. This position was articulated by Unilever CΓ΄te d’Ivoire's head, Arona Diop, during a meeting with the Labour Inspectorate, where he stated that the employment terms would be dictated by the new owner, SDTM, rather than the existing collective agreement (Southern African Times).

Despite Unilever's assertions, employees and their legal representatives maintain that the collective bargaining agreement is still enforceable under Ivorian labor law, specifically citing Article 16.6, which requires consent from individual workers for significant changes to employment contracts (The Workers Rights). This legal framework adds weight to the employees' claims and raises questions about Unilever's compliance with local labor laws.

Conclusion

Verdict: True

The claim that Unilever's collective bargaining agreement stipulates severance pay of "one month of average gross salary per year of seniority, with a maximum of 18 months" in the event of layoffs due to the sale of its Ivory Coast business is accurate. The evidence from multiple credible sources confirms the existence of this agreement and its terms. While Unilever disputes the applicability of these terms, the legal context and employee testimonies suggest that the agreement remains valid and enforceable.

Sources

  1. Ivory Coast workers say Unilever is violating their union rights ...
  2. Exclusive-Ivory Coast workers say Unilever is violating ...
  3. Ivory Coast Workers Accuse Unilever of Union Rights Violations
  4. Unilever Faces Accusations of Breaching Severance ...

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