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The Report on Layoffs at the ArcelorMittal Plant Came Through Sindmon-Metal, the Union of Metallurgical Workers of João Monlevade, on the Night of Last Tuesday, December 3
Last Tuesday, ArcelorMittal issued a note that contained the first radical change of the year for one of its plants, the decommissioning of Rolling Mill 1. This decommissioning occurred due to the inauguration of Rolling Mill 3, a more modern plant with a larger capacity of 1 million tons annually. With this change, about 156 people employed at the ArcelorMittal plant will be affected, with a forecast of 37 layoffs.
This news came through Sindmon-Metal, the Union of Metallurgical Workers of João Monlevade, last night, the 3rd. According to the note released, ArcelorMittal sought the Union to inform about the decommissioning of the plant, and the reason given was the drop in demand for steel in the sector.
In addition, the removal of the plant will impact 156 people, with 131 workers being reassigned to other sectors. Additionally, there will be 37 layoffs of people who worked at the plant, including 12 retirees and 25 employees from the rolling management. The information will be communicated to the employees on Monday, the 9th.
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ROLLING MILLS OF ARCELORMITTAL
Note Sent by ArcelorMittal
In the note sent by ArcelorMittal, the company states that this removal of the plant will not affect production and the supply to its customers. Check below what was stated in the note;
“ArcelorMittal informs that it has deactivated Rolling Mill 1 and transferred the production of wire to Rolling Mill 3, at its plant located in João Monlevade (MG). This measure brings gains in performance, productivity, quality, and safety. Recently inaugurated, Rolling Mill 3 is a more modern facility with a production capacity of 1 million tons per year.
With the decision, which also responds to market volatility for steel, the company is reallocating 84% of the workforce previously involved in the operation of Rolling Mill 1 to other areas, preserving jobs. Some layoffs are being carried out on a case-by-case basis.”
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