Subject category:
Economics, Politics and Business Environment
Published by:
IBS Case Development Center
Length: 10 pages
Data source: Published sources
Topics:
Electricite de France (EDF); Largest electricity company monopoly; French electricity market; Privatisation and deregulation; European Union (EU) directive; State-owned employees; French government state-owned company; Workers opposition and strikes unrest; The General Confederation of Labour (CGT); Workers Union, Trade Unions, blackout; Electricity production and distribution; Structural impediments, economic progress; Improved choice for consumers; Initial Public Offering (IPO); Public sector workers.
Share a link:
https://casecent.re/p/64528
Write a review
|
No reviews for this item
This product has not been used yet
Abstract
Electricite de France (EDF) is the largest electricity provider in the world and a state-owned company of France. Over the years, EDF has enjoyed a monopoly in the electricity market of France. But the EU (European Union) directive mandated all the member countries to open their markets for outside competition. France, being a member of the EU, had to comply by the directive and deregulate some sectors including electricity. As part of the deregulation, the government has planned the privatisation of EDF. But the privatisation move has been strongly resisted by its employees, which according to them, might lead to the withdrawal of employee perks. Despite the widespread unrest, the government has decided to continue with its efforts to privatise the sector and end the monopoly of EDF. This case study enumerates the evolution and monopoly of EDF and the advantages gained by the company as a state-owned entity. The case also highlights the exclusive benefits enjoyed by EDF''s employees as ''state-owned employees'', and the impact of the EU directive on those benefits. The case also elaborates the government''s efforts towards the privatisation of EDF and the workers'' opposition to privatisation. The case provides scope for discussing the dilemma of the French government in coping with the internal unrest and implementation of the EU directives, as the deadline approaches.
Location:
Industry:
Size:
USD64.0 billion (2004 sales)
Other setting(s):
2002-2005
About
Abstract
Electricite de France (EDF) is the largest electricity provider in the world and a state-owned company of France. Over the years, EDF has enjoyed a monopoly in the electricity market of France. But the EU (European Union) directive mandated all the member countries to open their markets for outside competition. France, being a member of the EU, had to comply by the directive and deregulate some sectors including electricity. As part of the deregulation, the government has planned the privatisation of EDF. But the privatisation move has been strongly resisted by its employees, which according to them, might lead to the withdrawal of employee perks. Despite the widespread unrest, the government has decided to continue with its efforts to privatise the sector and end the monopoly of EDF. This case study enumerates the evolution and monopoly of EDF and the advantages gained by the company as a state-owned entity. The case also highlights the exclusive benefits enjoyed by EDF''s employees as ''state-owned employees'', and the impact of the EU directive on those benefits. The case also elaborates the government''s efforts towards the privatisation of EDF and the workers'' opposition to privatisation. The case provides scope for discussing the dilemma of the French government in coping with the internal unrest and implementation of the EU directives, as the deadline approaches.
Settings
Location:
Industry:
Size:
USD64.0 billion (2004 sales)
Other setting(s):
2002-2005