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Mandriva CEO: Employee Lawsuits Put Us Out of Business

Julie188 writes: As you probably heard by now, Linux company Mandriva has finally, officially gone out of business. The CEO has opened up, telling his side of the story. He blames employee lawsuits after a layoff in 2013, the French labor laws and the courts. "Those court decisions forced the company to announce bankruptcy," he said.

9 of 422 comments (clear)

  1. Labour laws by phorm · · Score: 5, Insightful

    Uh, so you got hit with penalties in court because "labour laws are very generous towards the employees in France", which really means "we weren't following the labour laws in the country in which we had an office and did business", and probably finally means "we tried to screw employees in a way that would have worked perfectly fine in North America or other countries but got called on it in France, which cost us a bundle" ...

    1. Re:Labour laws by Lunix+Nutcase · · Score: 5, Insightful

      Nothing is funnier than someone who is actually mad that other countries might *gasp* not just allow employers to fuck over their employees at will.

    2. Re:Labour laws by gstoddart · · Score: 5, Insightful

      When the company began to run into problems from external sources the laws of the country we had set up in did not give us the flexibility we needed to continue trading and maintain at least some of the worker's jobs.

      No, if you read TFA, it really comes down to the people they had "restructured" out of jobs found that the company lacked the liquidity to pay them their legally required severance, and a court agreed to pay them so they didn't become victims of a failing company trying to buy time.

      Sorry, but if you think the employees should roll over and get fucked and not get paid so that company can try to stay in business ... you're sadly mistaken.

      You may think it's perfectly reasonable to expect employees to get screwed over to keep the company going, but the rest of the world doesn't.

      These kinds of laws exist precisely so you can't just fire people for free. America may think at-will employment because it lets corporations be greedy douchebags -- but the rest of the world has pretty much figured out that screwing over the employees to benefit the corporation is a stupid fucking idea.

      Because they probably would have gone under anyway. Any employee who would voluntarily get screwed to keep the company going is an idiot. Because they sure as hell won't do it for you.

      Boo hoo. A corporation didn't get to leave its employees holding the bag.

      No sympathy whatsoever.

      --
      Lost at C:>. Found at C.
  2. This is why France doesn't do startups by Bruce66423 · · Score: 5, Insightful

    The fear of this sort of fiasco makes establishing the company in London instead far more attractive. So the French are ever more stripped of talent. As a Brit I am grateful to the French for sending us so many talented people, but for the folk in France this is BAD NEWS. And this sort of story will discourage risk taking there even more.

  3. Re:So, the other side? by ShanghaiBill · · Score: 5, Insightful

    this actually sounds pretty good to me!

    Yes, it is good. Unless you are among the 11% unemployed, or one of the many millions with short term contracts because no one wants to take the risk of offering you a real job. But once you get the permanent position, you can kick back, because the penalty for firing you is prohibitive, resulting in poor productivity growth, and a stagnant economy. But, no problem, just borrow more euros from the hard working Germans across the Rhine.

    Not all French people dream about a secure job with little work. I know several that are hardworking entrepreneurs, bursting with ideas. Unfortunately for France, they emigrated to America, and are my co-workers and neighbors here in San Jose, California.

    California wine is better too.

  4. To those who never could run any business ... by Anonymous Coward · · Score: 5, Insightful

    ...

    So? You think running a successful business takes some kind of extra special skill set? Higher levels of skill, talent, and perseverance than earning a PhD, and/or making a discovery, advancing science?

    I have done both and I can tell you that the set of talent to obtain a PhD degree is different from the set of talent required to successfully run a business

    The quality of Slashdot crowd has sunk to a new low, with people actually posting comments ridiculing people with skill set other than theirs

    Where is the humbleness of a scholar, the curiosity of a adventurer and the tenacity of a researcher?

    In other words, instead of nerds that we are attracting, Slashdot ends up attracting a bunch of ignorant assholes who think they are smarter than the rest of the humankind

  5. Re:So, the other side? by geoskd · · Score: 5, Insightful

    In the US, you can fire anyone who doesn't belong to a union, at any time, for any reason. This makes jobs have no sense of permanence, and as a result, you constantly get "more expensive, less efficient" people replaced with "cheaper, less competent" people.

    It is the basic conflict that the conservatives hold as justification for anti union action, and anti labor stance. The trouble is that they are not wrong, and Mandirva is a perfect example why. A company that employed expensive employees in an extremely employee biased legal framework has now been destroyed and all of those employee are out of work. In replacement of that company are any number of companies that have the exact same business model except that they operate in places that do not afford employee protections. In essence, the jobs were not lost, simply transferred to another location (All those Mandriva customer are now Red Hat, or Microsoft customers). At the end of the day, all other things being equal, employment will work like any other unregulated economy, and the jobs go to the lowest bidders (In this case, anywhere except France). Ultimately Conservatives and Liberals are fighting about labor laws, when they have all accepted a bad premise. The problem is neither the conservative viewpoint nor the liberal viewpoint. The problem is that everyone works from the assumption that capitalism is mandatory. Everyone is so busy arguing about which political faction has the right answers, when in fact none of them do. There is not a single political group on earth that has the right answers. They are all too busy worrying about the short term details that ultimately are irrelevant to the problem. Meanwhile the real root cause (human nature) is being almost completely ignored.

    --
    I wish I had a good sig, but all the good ones are copyrighted
  6. Re:So, the other side? by Anonymous Coward · · Score: 5, Insightful

    France seems to be one extreme, but the US is the other extreme. Both could adjust their policies to something more fair for all stakeholders.

    Interesting statistic I found verifying the claims: France has a lower poverty rate than it's unemployment rate, while the US poverty rate is 3.5 times higher than it's unemployment rate. Just having a job isn't that great when you're still in poverty.

    Everyone in France who is employed is not in poverty. Intact some people in France who are unemployed are still above poverty.

  7. Re:So, the other side? by jcr · · Score: 5, Insightful

    There is a reason they have 11% unemployment.

    The only reason it's that low is due to all the french people who want to work fleeing to more business-friendly countries.

    -jcr

    --
    The only title of honor that a tyrant can grant is "Enemy of the State."