Symrise and IG BCE Extend Collective Labor Agreement

The important parameters are retaining a work week of no less than 40 hours, gradually taking over the pay scale agreements of IG BCE with fixed deductions and reducing shift differentials to a standard rate.

20 Aug 2009 --- Symrise and IG BCE are extending their expiring collective labor agreement. With the conclusion of the agreement, savings of over € 20 million will be generated in the next five years. In return, Symrise will guarantee jobs at the German locations.

“The extension of the collective labor agreement expiring at the end of the year is a critical step towards securing Symrise’s international competitive position. It also gives us a great degree of planning reliability in further implementing our successful strategy,” explains Symrise Chief Executive Officer, Dr. Heinz-Jürgen Bertram. These savings at the German locations alone guarantee the ongoing competitiveness of the Company.

Both IG BCE and the Chairman of the general works council, Karl-Heinz Huchthausen, welcome the agreement. “The concessions by the workforce at the German locations give consideration to the economic conditions on one hand, yet on the other still give our employees prospects.”

The important parameters are retaining a work week of no less than 40 hours, gradually taking over the pay scale agreements of IG BCE with fixed deductions and reducing shift differentials to a standard rate. This will yield the mentioned savings of over € 20 million in the next five years. In return, Symrise guarantees that its workforce as of the reporting date of June 30, 2009 will be maintained. The uncertainties of the economic environment and the continuously high cost pressure give rise to the need for a reliable basis for consistently pursuing the long-term Company goals. One particular aim is to secure the expected growth. The Company also wants to show stronger development than the market in the future. At the same time, profitability should be improved.

The new collective labor agreement has a term through December 31, 2014 and replaces the agreement expiring on December 31, 2009.