Marchionne Asks Italy’s Govn to Take Action Regarding the Court Ruling on Labor Statute image

Fiat CEO Sergio Marchionne asked the Italian government to find a solution regarding the recent court ruling.

Earlier today, July 9th, Marchionne said Fiat will stop any further investments in Italy until the uncertainty created by the court ruling will be cleared up. Fiat previously said it plans to manufacture Maserati and Alfa Romeo vehicles at its plants in Italy, to be exported to other markets.

“It is crucial that this government take the necessary decisions to fill the legislative gap created by the constitutional court’s decision,” he said. “Before going ahead with any other initiative in Italy, we need to be able to count on…a clear and reliable regulatory framework.”

The court ruling made uncertain the work agreement reached with labor unions in exchange for future investment in the Italian market. The court ruling says that “a union has the right to be present in the workplace even if it hadn’t signed the labor contract.” This means that Fiat has violated the workers’ rights when it decided to ban Fiom-Cgil from having a presence in its plants in Italy after the union refused to sign the deal.

Marchionne said that the Alfa Romeo re-launch plan will move forward, and that Fiat and Chrysler have plenty of solutions to build the vehicles in plants outside Italy if necessary.

Source: yahoo.com