Worries at Volvo and ArcelorMittal

22 November 2007

BRUSSELS – The management of the Volvo Cars plant in Ghent (East Flanders) has confirmed that three shifts including a night shift will remain operational at the factory.

Trades unions at Volvo Cars were worried 500 jobs could be under threat. The Swedish car maker is anticipating lower sales next year.

37,000 fewer cars will be assembled in Ghent in 2008.

A new model will be produced at the factory, but some job losses are expected.

Volvo Cars will keep its night shift, but workers will probably have to sign on for unemployment benefit for a number of days next year.

The final decision will be taken in Gothenburg.

Cost-cutting at ArcelorMittal
Meanwhile at steel manufacturer ArcelorMittal in Ghent (formerly Sidmar) consultations are taking place between management and unions. The two parties are discussing savings measures that will affect the workforce.

The management wants to cut costs by 8 percent by 2010.

Both today and yesterday workers downed tools in protest against cost-cutting measures.

Pilot projects have been carried out in several divisions, though the workforce remains concerned about job losses.

The management has provided guarantees about job security and only intends to recruit fewer workers.

Subject: Belgian news