EMCC European Monitoring Centre on Change



Geographic Location

Country: Italy
Region: Vicenza; Veneto; Nord Est
Location of affected unit(s): Quinto Vicentino


Sector: Manufacturing
Manufacture of textiles, apparel, leather and related products
14.1 - Manufacture of wearing apparel, except fur apparel
Number Employed: 400

Employment Effects

Announcement Date: 09-12-2020
Planned Job Reductions min: 250
Planned Job Reductions max: 400
Type of Restructuring: Closure

Additional Information

The management of the clothing company Forall, owner of the historic brand Pal Zileri, announced its intention to cease production activity in the Quinto Vicentino plant, with the consequent redundancy of 250 production workers out of 400.

The company is facing a downward trend in the high-quality men clothing market and this year the COVID-19 crisis worsened the situation. According to the management, the difficult situation in which the company finds itself requires urgent and it can no longer postpone interventions, which could save the Pal Zileri brand. The adoption of the so-called 'cessation of activity' procedure for the production branch would also make it possible to obtain up to twelve months of extraordinary wage guarantee fund for all employees, in addition to their inclusion in regional active labour market policy programs aimed at their relocation to new jobs. The management hope they will find an investor.

The trade unions contest the decision, as no other possible solutions have been considered in order to safeguard employment. The trade unions immediately called an extraordinary assembly and subsequently proclaimed the state of agitation with an immediate strike.