Spanish steelmaker Grupo Alfonso Gallardo has announced its intention to launch a workforce reduction program within the scope of its efforts to trim output levels in line with slack local demand for long steel products. In detail, the company stated that it will cut 24 jobs at Ferromallas SAU, 10 jobs at Grupo Alfonso Gallardo SA, 38 at Corrugados Lasao SLU and will entirely shut down Corrugados Azpeitia SL. On April 23, the restructuring program will be presented to the Spanish Ministry of Work, Employment and Social Security, which will have 30 days to open discussions with the company.
According to Grupo Gallardo, the measures announced by the company derive from the deep crisis of the Spanish steel market. Ferromallas SAU and Corrugados Lasao SLU produce welded mesh with an aggregate annual production capacity of 340,000 mt, while Corrugados Azpeitia SL is an EAF-based rebar producer with an annual production capacity of 1 million mt. Grupo Alfonso Gallardo SA is the parent company under which the group's subsidiaries operate.