Type
Internal restructuring
Country
Italy
Region
Sud; Calabria; Reggio di Calabria
Location of affected unit(s)
Gioia Tauro
Sector
Transportation / Storage
Warehousing And Support Activities For Transportation, Postal And Courier Activities
Warehousing And Support Activities For Transportation
52.24 - Cargo handling

442 jobs
Number of planned job losses
Job loss
Announcement Date
12 October 2016
Employment effect (start)
1 January 2017
Foreseen end date
31 December 2019

Description

Medcenter Container Terminal (MCT), the company operating ship services at the container terminal of the Gioia Tauro port, announced 442 dismissals.

The company, which employs about 1,300 workers in Gioia Tauro, suffers from a prolonged contraction of transshipment operations and it has already activated the Wages Guarantee Fund for five years. Redundancies will take effect as of 1 January 2017 and will affect crane operators, lifting truck operators and crew workers.

After the announcement, workers went on strikes and organised assemblies. Unions intend to reduce the number of dismissals by internalising some subcontracted activities.

The Ministry of Economic Development reacted to the company decision by proposing the creation of a public agency in charge of providing income support and relocating redundant workers at ports experiencing substantial decrease in traffic. Negotiations between national and local authorities, the company and unions are ongoing.

Update, 27/12/2016: After an agreement was reached in November based on the proposal of the Ministry for Economic Development, the government approved the creation of a public agency, which will take on the 422 Medcenter redundant workers as well as workers from other ports specialised in transshipment activities, which are experiencing severe crisis (see also TCTIT-2015). Workers will receive income support and training with a view to being relocated over the next three years. The Medcenter workers are expected to be employed in forthcoming works, for example for the building of a railway gateway and a dry dock in the port.


Sources

  • 2 July 2016: The Medi Telegraph
  • 12 October 2016: Il Quotidiano del Sud
  • 19 October 2016: LACNEWS24
  • 24 November 2016: Il Sole 24 Ore

Citation

Eurofound (2016), Medcenter Container Terminal (MCT), Internal restructuring in Italy, factsheet number 89712, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/89712.