Danone denied funding

French dairy and biscuits Groupe Danone said it has halted construction of a global research center in Palaiseau, near Paris, after the Ile-de-France...

French dairy and biscuits Groupe Danone said it has halted construction of a global research center in Palaiseau, near Paris, after the Ile-de-France regional government said it will delay release of a FF4m subsidy to fund to the project until meeting with the group's management. Jean-Paul Huchon is the socialist president of the Ile-de-France region, where Danone plans to cut 400 jobs by closing a LU biscuit factory at Ris-Orangis, as part of a broad restructuring plan. In a statement Huchon said that it is unacceptable that "a company known throughout the world for its social management, has been able to consider elected officials, including yours truly, as a child. Nothing was explained to us beforehand." The announcement this week by Danone to cut jobs and close factories angered workers and politicians alike. Anne Diamantopoulou, EU Work commissioner, made an announcement on Thursday for the immediate adoption of an European Directive to establish the workers right to be informed and consulted by their employers should a decision be taken that might affect their jobs. Commenting on the job cuts announced this week by Danone and struggling British retail chain Marks & Spencer, Diamantopoulou said, "In the space of one week we have heard the abrupt announcement of over 6000 job losses from only two companies. We can not stay silent before such decisions and the effect that they will have on the employees and families concerned."