ArcelorMittal to shed 630 jobs at its Czech subsidiary

Friday, 27 January 2012 16:00:26 (GMT+2)

Luxembourg-headquartered global steel giant ArcelorMittal has confirmed it will cut 630 of the 6,000 jobs at its steel plant in Ostrava, Czech Republic as it seeks to boost competitiveness, as reported by the AFP news agency. ArcelorMittal had already shed 1,200 jobs in the Czech Republic in 2009.
 
ArcelorMittal Ostrava received 700 requests under its voluntary redundancy program offering employees the equivalent of 11 to 24 months' salary depending on seniority as part of a compensation package. The first voluntary lay-offs are to take effect on January 31.

"The number of 630 is not definitive, as the process is still underway. The plan covers both blue and white collar workers of all ages," ArcelorMittal Ostrava spokeswoman Vera Breiova stated.

Breiova told AFP the job cuts formed part of efforts to improve worker productivity. "Considering the uncertain situation currently dominating the European steel market, the company must be competitive," she added.

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