Over 2,500 Workers Face Redundancy as Court Orders ILVA Plant Shutdown

AIGI, the body for companies linked to the former ILVA steelworks in Taranto, has dispatched letters to trade unions outlining a plan to make more than 2,500 workers redundant. The decision follows a July ruling by a Milan court that, on health grounds, requires the plant’s hot area to cease operations within three months unless all asbestos is removed and particulate emissions are brought within safe limits. President Nicola Convertino described the layoffs as a painful but necessary response to the abrupt closure deadline, attributing the crisis to inadequate planning.

In parallel, Italy’s steel federation Federacciai announced that its board has asked president Antonio Gozzi to negotiate a possible acquisition of the plant for an Italian consortium, while Indian group Jindal, Czech firm CE industries and US investor Flacks have also expressed interest. The Taranto facility, once Europe’s largest steel producer, has struggled financially and is linked to high cancer rates in the surrounding Puglia region. ADI, which owns the plant, entered state administration in early 2024 after a contentious split with former owner ArcelorMittal.