Romanian ArcelorMittal Galati Union Threatens General Strike

"The Solidaritatea Union decided to call strike throughout the entire ArcelorMittal Galati unit, indefinitely, starting with Monday, April 14, 2008, 06.30 local time, if the claims forwarded in the latest rounds of negotiations are not satisfied," said the notification sent to management, Friday afternoon, by Gheorghe Tiber, president of the union.

The union represents 3500 of the 13,700 factory employees.

Two of the four union groups present at negotiations have already agreed with the latest proposition issued by management. The Union Federation of Steel Workers (FSS) Metarom and the Territorial Association of Free Unions (UTSL), which represent 8500, respectively 700 employees, signed an additional act to the Collective Labor Contract.

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The most important items in the accepted offer refer to a salary hike of 9.5%, but no less than 100 lei (EUR1 = RON3.6130), the removal of categories I and II, the lowest categories for skilled workers, and the payment of former category I and II employees on a category III, which means a salary leap from RON610, the gross sum received at category I, to RON832 currently paid to category III. In addition, the minimal employment salary for people with college degrees will be RON1,256, while another 1,400 employees will go to an upper class, which adds an additional 5% to their salaries.

The strike announced by the union might be challenged by management, because the conflict of interests registered by the unions early march was abolished by the Ministry of Labor, and the challenge to the Ministry decision has yet to receive ruling. This is also the reason for which the fourth organization present at negotiations, which represents 360 employees, has not yet decided on accepting the offer.

"We are waiting for an answer from the Ministry of Labor and we will latter decide what needs to be done," said Costel Harnagea, the leader of the fourth organization, Forum.

Solidaritatea would have agreed with the last offer issued by management, if these measures would have been applied starting with January 1, and negotiations would have been resumed starting May. Otherwise, the union demands a 25% hike in the salary fund and the granting of a fixed raise of RON275, a 50% bonus for hours worked Saturday and Sunday, the increase of the four yearly bonuses from RON120 to RON400 and the increase of the vacation bonus from RON200 to RON350.

Dorian Dumitrescu, spokesman for ArcelorMittal Galati, did not wish to comment on the strike.