Auto parts maker Marelli to discuss Italian plant closure with unions
Reuters
Published Sep 22, 2023 15:54
MILAN (Reuters) - Auto parts maker Marelli will consult unions on a plan announced this week to shut one of its plants producing components for internal combustion engines (ICE (NYSE:ICE)) hit by the transition to electric mobility, the unions said on Friday.
As a gesture of goodwill, the company said it had suspended until Oct. 3 the closure procedure for the plant, which is located in the town of Crevalcore in the northern region of Emilia Romagna and currently employs around 230 people.
A meeting is scheduled for that date involving the two sides and government representatives from the Industry and the Labour ministries, Marelli noted.
Unions, which called out workers in other Marelli plants across Italy in sympathy strikes on Friday, welcomed the move.
"This allows us to start the dialogue without a clock already ticking," they said in a statement.
"We want a discussion to reach a solution that ensures continued production and jobs at the Crevalcore site," they added.
Unions are particularly concerned that a closure of the factory could herald deeper job cuts across the supply chain as carmakers increasingly switch to producing electric vehicles.
The plant manufactures plastic components and processes aluminium components for ICEs.
Marelli, owned by private equity firm KKR, was created in 2019 after Fiat Chrysler, now part of Stellantis, sold its car parts unit Magneti Marelli. It employs some 7,300 people across Italy.
Get The App
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.