Coin Group presents industrial relaunch plan to government authorities

Top management of the Coin Group met with government authorities and presented the key points of the industrial plan for the relaunch of the department store

Top management of the Coin Group met on December 15, 2024 with government authorities at the ministry of enterprise and made public the key points of the industrial plan for the relaunch of the department store--now at risk for Chapter 11--, with the aim to protect its 1,331 workers. As the same ministry reports, the industrial relaunch plan will be based on three pillars: store optimization through better space management, review of the merchandise mix, and service improvement through increased staffing in stores.

In the presence also of representatives of the Veneto Region and national trade unions, the Mestre-based company pledged to begin discussions immediately with the trade unions for the implementation of industrial actions deemed most appropriate.” The group also confirmed that active interlocutions are underway with possible investors to implement the recovery strategies.

The next union meeting will be held on December 23, 2024. The union reports that, as communicated by the company's management, eight of the group's stores will close their doors in 2025. After the store in Grugliasco, in the Turin area, which will be divested as early as January, the stores in Rome Lunghezza, Rome Bufalotta, San Donà di Piave (near Venice), Latina, Vicenza, Milan City Life, and Sesto Fiorentino (near Florence) are scheduled to close during the year. The closures will involve a total of 92 employees, including 50 in the Rome area.

“The crisis originated well before the pandemic, but the covid years have aggravated the financial situation, leading to a debt of about 80 million euros,” the union explained.

“In an attempt to address this situation, Coin initiated the Negotiated Crisis Resolution procedure in June 2024, with the aim of ensuring business continuity, through negotiations assisted by an independent expert. This procedure made it possible to start a dialogue with creditors and activate precautionary measures,” he continued.

The unions called for greater involvement and participation in the decisions. They would also like detailed information on the investors and clarification on the company's short-, medium- and long-term strategies, as well as guarantees with respect to protective measures for both direct and indirect workers, “starting with those in force at the Grugliasco store.” In addition, they consider necessary “a social relocation plan for employees impacted by the possible divestments,” they added.