To date, the company has been forced to close 1,695 stores in 72 countries, almost 78% of its total stores network
Mango will complement the salaries of workers affected by the ERTE up to a maximum of 2,000 euros in the month of March
Toni Ruiz, the company’s CEO, is waiving all remuneration while the emergency situation continues
The rapid spread of COVID-19 has so far forced the closure of 1,695 stores in 72 countries. Among them, the more than 400 stores the firm has in Spain closed on Saturday 14 March. As consequence, Mango has activated a contingency plan which includes the presentation of a Temporary Redundancy Plan (ERTE) on the grounds of force majeure, which will become effective from 14 March and affects 4,767 employees, principally its sales force in Spain, as well as workers at its logistics centre in Lliçà d’Amunt and at its headquarters in Palau-Solità i Plegamans.
“Our priority is to guarantee the jobs of all our employees. With this in mind, we are adapting our capacities and structure to the circumstances required at any given moment, in order to get back to normal as soon as possible”, Toni Ruiz, Mango’s Chief Executive Officer, explains.
In order to minimise the impact caused to the employees affected by the ERTE, Mango has decided to complement their salary up to a maximum of 2,000 euros in the month of March. In addition, all the bonuses and incentives accrued during the month of March will be paid at the end of the month.
It has also been agreed that the entire company Management will significantly adjust its remuneration while the emergency situation continues, starting with Toni Ruiz, who has decided to waive all remuneration during this period.