Metinvest Tubular plans mass layoffs at Iași pipe factory

Metinvest Tubular, a steel pipe manufacturer in Iași, Romania, is preparing to lay off 194 employees. Only the general director is expected to remain at the facility. The company is owned by Metinvest BV, a group controlled by Ukrainian billionaire Rinat Ahmetov, which acquired the plant approximately ten months ago.

The company cited Russian military attacks in August as the primary cause for suspending operations, noting that these attacks disrupted the supply of hot-rolled steel coils from Ukrainian combines. Additionally, the company pointed to increased costs for European steel, which is approximately 110 euros per ton more expensive.

According to notifications sent to labor authorities, employees will receive the minimum legal notice period of at least 20 working days, during which they will be allowed four hours per day to seek new employment without salary reductions. Reported compensation includes 10,000 lei net for employees with over 10 years of seniority and 25,000 lei net for those with over 30 years of seniority. Most staff are expected to leave the company by the end of the year.