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Confindustria elects new president

Italy
Confindustria [1] is the biggest Italian employer association and currently has a membership of 149,288 enterprises employing a total of 5,516,975 workers. [1] http://www.confindustria.it/

The executive committee of Italy’s biggest employer association, the General Confederation of Italian Industry (Confindustria), has elected Giorgio Squinzi as its new president. He will serve a four-year term until 2016. His mandate will officially start on 23 May during the organisation’s annual assembly. Giorgio Squinzi represents the moderate side of Confindustria, which is more open to dialogue with trade unions. He narrowly beat opponent Alberto Bombassei.

Background

Confindustria is the biggest Italian employer association and currently has a membership of 149,288 enterprises employing a total of 5,516,975 workers.

On 22 March 2012, the organisation’s executive committee elected Giorgio Squinzi as its future president. He will take the presidency during Confindustria’s annual assembly on 23 May.

The executive committee of Confindustria comprises 186 industrialists who represent various local and sectoral associations that make up the confederation.

Two candidates ran for the office of president:

  • Giorgio Squinzi, 68 years old, is sole director of his family business Mapei. The business produces adhesives and industrial sealants and has its headquarters in Milan. Squinzi, who has also been President of the National Federation of the Chemical Industry, Federchimica, and Vice-President of Confindustria, was backed by the industrialists of central and southern Italy.
  • Alberto Bombassei, 72, is President of Brembo, world leaders in braking systems. He is a former president of the Italian Federation of Metalworking Industries Federmeccanica and is currently a member of the executive boards of various large companies including Pirelli and Italcementi. He was supported by the big industries of northern Italy and by the CEO of Fiat, Sergio Marchionne, who alluded to the possibility of Fiat returning to Confindustria if Bombassei were elected (IT1111029I).

Tough campaign

The electoral campaign was particularly aggressive and focused on the candidates’ proposals for the future organisational structure of Confindustria. Squinzi has always maintained that he has no intention of changing the structure of the organisation or the way it operates, while Bombassei promised he would introduce radical reforms that would transform the complex structure of the confederation and reduce costs in the process.

A total of 177 members of the committee voted, with 93 voting for Squinzi and 82 for Bombassei.

Squinzi will remain in the post until 2016 and his election represents a victory for moderates in the organisation. These members are more open to dialogue with the trade unions and in particular with the General Confederation of Italian Workers (CGIL).

Squinzi will have to present his working group and programme by 23 May.

Reactions

The representatives of Confindustria have underlined that, despite the apparent split within the organisation during the electoral campaign, the climate is now relaxed and collaborative. The first person to offer such reassurance in this respect was the other candidate, Alberto Bombassei, who has stated that he is ready to offer his ‘full and loyal collaboration’ to the new president.

Luca Cordero di Montezemolo, President of Confindustria from 2004 to 2008, has said that ‘now we must all row in the same direction and accept the result of the vote’.

Fedele Confalonieri, President of Mediaset, was more explicit: ‘There is no split in Confindustria. The two candidates ran for president and one of them won. Now they will work together.’

The trade unions have stressed that the election of Squinzi could improve relations between the unions and Confindustria.

Susanna Camusso, General Secretary of Cgil, hopes that ‘the constructive and responsible attitude shown by Squinzi while President of Federchimica will be a point of reference for positive industrial relations, following the interconfederal agreement of 28 June 2011’ (IT1108029I).

Raffaele Bonanni, General Secretary of the Italian Confederation of Workers’ Trade Unions (CISL), hopes that ‘Squinzi’s mandate will be characterised by reforms and constructive dialogue with the trade unions’.

Luigi Angeletti, general secretary of the Union of Italian Workers (UIL) says he is certain that ‘there will be further consolidation of the positive industrial relations that have been characteristic of our organisations in recent years’.

Commentary

Confindustria is currently in a delicate situation and the newly elected president’s job will be, among other things, to deal with two possible problems.

The first is linked to the fact that Fiat left Confindustria in January 2012. It had always played an important role in the organisation and its departure altered the previous equilibrium. The big industrial groups remaining, above all the state-owned groups such as Eni and Finmeccanica, may now claim a more prominent role within the organisation.

The second problem derives from the split revealed during the electoral campaign and the vote for the new president. Not since 2000 has the executive committee had to choose between candidates. Furthermore, the narrow majority separating Squinzi and his rival clearly highlights sharp divisions within the organisation which could lead to other big enterprises following Fiat’s lead and defecting.

Vilma Rinolfi, Cesos


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