To boost the Italian industry, Mr Marchionne, CEO of Chrysler and Fiat to invest U.S. $ 28 billion to upgrade the car factory in Italy, and increase production to double by 2014. This is the largest investments in Italy recently, where since the outbreak of the crisis so far, the company has not made a profit. In return, unions approve changes to labor agreements companies can lower their production costs. In accepting the change overtime, reduced vacation time paid, limited strikes, the company was right to recruit seasonal workers.
After the referendum in the Mirafiori plant, the Italian industry minister, Maurizio Sacconi glad he predicted the result referendum will encourage industry to invest in Italy. He said on the radio, "This result will pave the way for related industries, especially in the large plant and machinery will be used at full capacity and income of workers is increased, "
Before that, a battle between those who protect the rights of workers and those old-fashioned to accept innovation breakthrough for the future Italian automobile industry took place in Fiat's largest plant in Turin.
Traditional and contemporary
More than 70 years, Fiat's Mirafiori factory in Turin was proud of the brightest crown of Italian industry and is regarded as a stronghold to protect the interests of laborers.
Italian workers precedent of not accepting overtime when the need to increase crop production products, whether paid double, triple. The result is a lack of factory workers, not to hire temporary workers, new workers are permanently contracted and many other preferential terms not available in the U.S. and other European countries. The high labor conditions that Italy was the team's product prices, a growing loss of competitiveness on world markets.
Meanwhile, Fiat now owns a factory in Brazil, Poland and Serbia. "The fact that the Fiat factory in Poland has produced the cars better and faster than the competition," Mario Cianflone a leader in the Italian financial magazine said. Cianflone said, production at five factories of Fiat in Italy often disturbed by the lawsuit, absent production unethical and poor quality products. Condition that caused the share price of Fiat in Europe last year reduced from 8.7% to 6.7%. Fiat must find way out for the business activities of companies in the competitive situation occurs worldwide.
Speaking in October last year, Fiat CEO Sergio Marchionne, who has revived the dying company, told Italian television that the company would work better without plants Italy. "In nine months of 2010, Fiat has been $ 2.8 billion in interest but no contribution from the Italian factory."
After the new labor agreement was signed, the Fiat Mirafiori factory and Chrysler invested 1.33 billion to raise its capacity, producing the new car brand Alfa Romeo and Jeep.
Contrary to the Italian trade unions and trade unions on the same U.S. government to save the plant out of bankruptcy in order to maintain and create new jobs for workers.
Tags:Fiat,New cars,Toyota,Honda,Nissan
My current union (UAW) holds 63.5% stake in Chrysler, Fiat held 25% while the government bailout of the U.S. accounts for only 9.2% and 2.3% Government of Canada. Last year, the UAW also supports GM, Ford issued new policies to lower wages for new workers could be recruited to the products with competitive prices with the new national development based on the dominant source of workers Cheap.
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