Kersten Techniek focuses on non-residential construction with four operating companies where the emphasis was on retail. Due to international relations, the company saw as early as February 2020 that orders would decline significantly, a domino effect of the closure of and decline in physical stores."Large investments were withdrawn and our loss went toward two million. You can't let that happen," says Henk Jansen. "We had to reorganize to secure the company and a large number of employees. In March our company had 230 permanent employees, now there are 205. Twelve people have been made redundant and the rest have drawn their own conclusions and found new jobs.Unfortunately, ten of the twelve have also already found new jobs. We have managed that as well. We have a close relationship with each other and you want to say goodbye in a good way, so that the families of the dismissed employees also have a good future." Henk Jansen, Kersten Techniek: "With the right legal help and the down-to-earth view offered by the lawyers, you can prevent a reorganization from getting out of hand."
On good terms
In March of this year, the management of Kersten Techniek contacted the Labor Law Section to discuss the company's reorganization. "We are loyal and have been working with Dirkzwager for more than thirty years. They know our company through and through. It was clear that we had to intervene, the work stopped and a large part of the staff was sitting at home. Our employees traded days off and we applied for government support, but these were all temporary measures. If you know that you are facing a forced reorganization, a specialized legal perspective is very important to take the emotion out of it and proceed in a constructive way.
Together with lawyer Maaike de Jonge, we were able to look at the situation proactively: what do you encounter and what are the legal consequences? In our corporate culture, loyalty works both ways; our greatest desire was to part on good terms."
Speaking the same language
Despite the limitations of working from home, consultations with Dirkzwager were very constructive, says Jansen. "That did not detract from the service and legal accuracy we needed, Maaike de Jonge picked up the thread very quickly. Each employee within our company has their own story and employment history, so there was a real need for customization, and the step-by-step plan Dirkzwager set up provided a helpful guide. Together we examined how we could say goodbye in the most friendly way possible, providing support for replacement.
I think that you have to be a good employer even in this situation: you don't want people to say goodbye with resentment but to be able to leave with their heads held high. The corona crisis is a very special situation, that made us all speak the same language and see the need for reorganization. It can also happen that employees dig in their heels; fortunately, that did not happen with us."
New World
Although Henk Jansen as major shareholder is no longer associated with Kersten Techniek on a daily basis, the reorganization together with the management has his full attention. "As an entrepreneur I have had to deal with several crises; I don't panic easily. During the economic crisis in 1979, I took over this company together with two partners. At that time, Kersten Techniek focused on industrial services to the food industry. However, these concerns were moving away from the region, just think of Honig in Nijmegen or Nuts in Elst. Kersten Techniek threatened to go under but we managed to get it back on its feet within four years. There was already a link with the retail market and from 2005 we took a whole new direction with a complete focus on retail. After that we grew fast, so in 2008 we divided our operations into several operating companies," Jansen summarizes the company's history. "In retrospect, we may have been too late and paid too little attention to our operations outside of retail. This market has been shrinking for some time, and under the pressure of the corona virus, a whole new world is now emerging. As an entrepreneur you have to refocus at this time, look for opportunities and seize them."
Pushing the Beacons
Despite the extraordinary times, Kersten Techniek sees the future positively. "The installation industry is vibrant and there is a shortage of technical assembly workers in many sectors. We are taking into account the constraints. It was recently announced that construction and non-residential construction will be hit hard this fall but that too is part of entrepreneurship. We have always had healthy operations, so we can bear the 20-25 percent loss of sales we have suffered so far after this reorganization.
In addition, you see that companies are looking to each other for solutions and we are preparing to partner with other types of companies. For example, we now supply qualified mechanics to energy company Liander and are installing cable harnesses at Radboud Hospital; this kind of work had not come our way before the corona crisis. We were already shifting gears; the crisis accelerated that. We are aiming for 350 employees in three or four years, which is necessary to maintain strength and volume."
Other companies that see dark clouds coming toward them, Jansen advises, should prepare in time for the new reality and seek legal help. "Repair the roof while the sun is still shining. If we had acted later, the consequences for our company and thus for all employees would have been much more serious. This crisis is forcing many companies to shift their focus, even though it is tempting to cling to old patterns. With the right legal help and the down-to-earth perspective offered by lawyers, you can prevent a reorganization from getting out of hand. A different time is coming, and you are selling yourself short as an entrepreneur if you don't reorganize to take advantage of the opportunities that a new world offers."