Workers, who lost their jobs due to the closure of Michelin’s factory in the country, will receive N3.6bn as severance package, the company has said.
Michelin recently pulled out of Nigeria citing high cost of operations as the reason behind the decision.
The Director of Communications, Michelin, Victoria Adefala, said in a statement on Sunday that the N3.6bn proposed pay off was over and above the normal contractual severance package for employees in the circumstance, which would have been N2.4bn.
The package includes medical coverage for 18 months and one year housing allowance.
Adefala said in the statement which was sent by e-mail to our correspondent that all employees of the company would remain on its payroll and would continue to receive their current salaries till the 31st of May 2007.
“This payment of salaries up to May 31, 2007 in lieu of notice as per conditions of service,” she said.
“Pension contributions for both the company and its employees would be remitted up till the end of May 2007; this will be done within the statutory deadline,” she added.
According to Adefala, the company is putting in place an employee counselling service and a micro credit scheme to encourage employees who wish to set up their own businesses.
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