EMCC case studies: Impact of the financial and economic crisis - Study on ArcelorMittal Galati subsidiary (Romania)

This case study focuses on the measures used by ArcelorMittal to cut costs and avoid involuntary redundancies during the crisis in its largest Romanian subsidiary. The study aims to assess the effectiveness of the various measures applied to keep staff in employment and to ensure the company’s viability. Specific emphasis is given to temporary layoffs and compulsory annual leave schemes to all staff in Romania. The study also discusses the role of government in supporting flexible measures and, furthermore, the role of unions and the European Works Council (EWC) in the design and implementation of the measures.