A company consolidated its distribution networks, and reduced the size of its sales force. BPI managed the negotiation process and prepared a plan for voluntary separations which included a provision to help those employees who wished to set up new businesses. It provided both incentives and support as a buffer against individual risk.

Context
Compulsories
500 salespeople, in three different subsidiaries, were preparing the launch of new products for this large wine and spirits manufacturer. 80% of sales were made in large and medium-sized supermarkets. But most of the sales expenses were devoted to hotels, cafés and restaurants, because they are so spread out, and also because they are the spearhead for promoting new products. When large and medium-sized supermarkets renegotiated prices, they highlighted the excessive sales costs of sales to hotels, cafes and restaurants, and demanded that these costs not be applied to their purchase price. The large sales volumes at stake led the manufacturer to offer additional discounts that had to be compensated by internal cost reductions. Together with an optimisation of marketing actions, the merging of the three distribution subsidiaries led to the beginning of the reduction in the sales force.

Task
High-stakes Labour Negotiations
When management examined the social consequences of the merger, they realised that the negotiation process must be exemplary. It would be the litmus test for the social policy of a group which, 10 years after being founded, had reached maturity. While awaiting the arrival of the head of the new entity, branch management engaged BPI to assist them in this process. Anticipating regulatory procedures, negotiations began with the personnel and their representatives. This was a calculated risk taken by the company who, in so doing, wished to give a clear message that they were open to negotiation.

Employees with Entrepreneurs' Profiles
The voluntary separation plan which resulted from these negotiations was very open and offered excellent conditions to the employees, showing the company's commitment to those who had helped it develop.
BPI prepared a tailor-made program to assist employees in their professional development. All the regional offices were mobilised to organise local support on a national scale, including the specific aspect of the agreement designed to help employees who wished to set up businesses.
These demanding and dynamic salespeople would not accept any loss of income related to their change in situation. This plan, focusing on the potential of these former employees to create new businesses, included both incentives and support that were clearly presented during information meetings.
Individual risk was protected by two types of assistance - increased support for projects in difficulty, and the possibility of a return to outplacement during the two years following the initiation of personal projects.

Perspectives
Effectively Targeted Measures
The results of this operation show that these measures were efficiently targeted: 206 employees accepted voluntary separation, and approximately 30 of them started up or purchased businesses.