The mayor of Sremska Mitrovica Branislav Nedimovic confirmed that the Sirmium Steel foundry, owned by STG Brescia SpA, was taken over by Metalfer, owner of a mill in Sremska Mitrovica, which helped saving 300 jobs.
According to the mayor, production restart is being prepared, which was suspended on September 14, by placing all workers on forced leave. "Today we had a meeting with representatives of Metalfer and we finally defined actions, so the production will start in a few days," said the mayor, who pointed out that the town administration coordinated a meeting where Sirmium Steel, the EPS (Ente electric State), the Srem-gas, the Metalfer and other relevant parties took part in order to find an agreement.
"We were dealing with the consequences of a careless handling of the foundry by its owners, which threatened to jeopardize the business of rolling, coming to a situation where almost 500 people could lose their job. With this agreement, we have saved 300 jobs and this will not be a short term solution but will have positive effects on the future and I honestly believe that we will not have to worry about the metallurgical complex in Sremska Mitrovica, "said Nedimovic, who strongly emohasized that investors which decide to close their facilities within one week don´t do any good neither to the town nor the country.
"I must say that in this terrible situation we were able to react quickly and to find a solution. This country really doesn´t need investors such as these which decided to stop production in seven days without notifying anyone, and certainly not our town, which provided all logistical support over the years " added Nedimovic.
The Sirmium Steel is 70% owned by the Brescia STG Group and 30% by Simest.