Steel plant's troubles "might affect 15,000 other workers"

The leader of a trade union association has said that the problems faced by Zelezara Smederevo might, besides its employees, affect around 15,000 other workers. President of the Confederation of Autonomous Trade Unions of Serbia (SSSS) Ljubisav Orbovic told the public broadcaster RTS on Monday that "no guarantees had been given that the plant would be put into operation, as that had been announced by the outgoing government, and the talks should be held with a new government". Steel plant's troubles "might affect 15,000 other workers" That is not just the issue of the Smederevo-based steel mill, but the metal industry as a whole, as well as other branches of industry which depend on it, and that would have implications for around 15,000 other workers, Orbovic underlined. Zelezara Smederevo will temporarily halt its production from July 10 to September 1, by putting the second blast furnace into hibernation, Minister of Economy and Regional Development Nebojsa Ciric said several days ago. The minister told journalists that a temporary halt in production was discussed at a meeting with representatives of the trade unions and management of the steel mill who agreed that, given the circumstances, this would be the best possible solution. The company became government owned in late January after the government bought it for USD 1 from U.S. Steel, which pulled out because of losses. U.S. Steel acquired the company, then called Sartid and in bankruptcy, in 2003. Zelezara Smederevo, which hires 5,500 people, accounted for five percent of Serbia's overall production, and around 14 percent of the exports. On April 18, the government invited tenders to choose a strategic partner for the steel producer. The deadline for bids was May 4, and it was extended to June 10 and later to September 10 at the request of potential buyers. It is evident that Zelezara Smederevo is facing major problems, and that there is no buyer at the moment, Orbovic said, adding that there is no definite plan for Zelezara. The plant must be put into operation, it must secure raw materials and the market, Orbovic said, stressing that is not solely the issue of the company's management, and that the company needs the state's assistance. As regards a new government, the SSSS president voiced satisfaction about the fact that the parties which planned to form a government maintained the stances which they had presented to the SSSS before the elections. "There are no major differences, and that seems to be on the right track,“ Orbovic said, adding that the SSSS would back the new government on condition that they reached an agreement on how to boost the economy, and did not introduce cuts in salaries and pensions. RTS Tanjug

Steel plant's troubles "might affect 15,000 other workers"

That is not just the issue of the Smederevo-based steel mill, but the metal industry as a whole, as well as other branches of industry which depend on it, and that would have implications for around 15,000 other workers, Orbović underlined.

Železara Smederevo will temporarily halt its production from July 10 to September 1, by putting the second blast furnace into hibernation, Minister of Economy and Regional Development Nebojsa Ciric said several days ago.

The minister told journalists that a temporary halt in production was discussed at a meeting with representatives of the trade unions and management of the steel mill who agreed that, given the circumstances, this would be the best possible solution.

The company became government owned in late January after the government bought it for USD 1 from U.S. Steel, which pulled out because of losses. U.S. Steel acquired the company, then called Sartid and in bankruptcy, in 2003.

Železara Smederevo, which hires 5,500 people, accounted for five percent of Serbia's overall production, and around 14 percent of the exports.

On April 18, the government invited tenders to choose a strategic partner for the steel producer. The deadline for bids was May 4, and it was extended to June 10 and later to September 10 at the request of potential buyers.

It is evident that Železara Smederevo is facing major problems, and that there is no buyer at the moment, Orbović said, adding that there is no definite plan for Železara.

The plant must be put into operation, it must secure raw materials and the market, Orbović said, stressing that is not solely the issue of the company's management, and that the company needs the state's assistance.

As regards a new government, the SSSS president voiced satisfaction about the fact that the parties which planned to form a government maintained the stances which they had presented to the SSSS before the elections.

"There are no major differences, and that seems to be on the right track,“ Orbović said, adding that the SSSS would back the new government on condition that they reached an agreement on how to boost the economy, and did not introduce cuts in salaries and pensions.