Events 2023-01-15T07:44:25+02:00
Ukrainian news
ArcelorMittal Kryvyi Rih Suspends Most Of Production Facilities Due To Strike Of Workers Of Railway Shop

ArcelorMittal Kryvyi Rih Suspends Most Of Production Facilities Due To Strike Of Workers Of Railway Shop

strike, ArcelorMittal Kryvyi Rih, ArcelorMittal, ArcelorMittal Kryvyi Rih steel and mining plant

The ArcelorMittal Kryvyi Rih steel and mining plant (Dnipropetrovsk region) says it has suspended operation of most of production facilities due to the strike of workers of the railway department.

The company announced this in a statement, Ukrainian News Agency reports.

"Locomotive operators, assistant operators and shunting operators refused to drive the locomotives to the route, thus putting the operation of the whole plant at risk. These protests were neither announced nor agreed in advance with the management of PJSC ArcelorMittal Kryvyi Rih," reads the statement.

The statement reads that a mere of 14 locomotives out of 92 are in operation at the plant. Due to this fact, the whole process chain is paralyzed.

The statement reads that the subdivisions of Mining Department, sinter shops, all blast furnaces (except for BF-6), the whole steelmaking and rolling process stages have been completely stopped.

The company says such unplanned disruptions in the operation of production facilities have extremely negative impact on operation of gas transportation system.

"There is a real danger of gas pipelines explosion because of pressure drop resulting in industrial disaster affecting not only the plant, but also the city. Currently, the specialists of the Company manage to keep the situation under control," reads the statement.

Main demands of the employees were announced - to increase the salary up to European level 1000 EUR and to ensure that all rolling stock meets health and safety standards.

The statement reads that the management of ArcelorMittal Kryvyi Rih had a number of meetings with the labour collective in order to discuss the demands of railmen. On May 16, a special commission started examination of locomotives in terms of their compliance with health and safety requirements.

All noncompliances, revealed during the examination, will be eliminated at site by the specialists of the company, when possible.

Salary negotiations are ongoing.

"We would like to remind that currently, more than 21 000 people work at PJSC ArcelorMittal Kryvyi Rih. The average salary is 14 000 UAH. It is competitive among the companies of mining and metallurgical complex of Ukraine. Since May 1, it was increased up to 20%," reads the statement.

"If the situation is not resolved soon, production will be completely stopped and it will take much time and colossal resources to recover it," reads the statement.

As Ukrainian News Agency earlier reported, the ArcelorMittal Kryvyi Rih steel and mining plant (Dnipropetrovsk region) plans to acquire 500 wagons for transporting its own products and delivering raw materials to the plant and put them into operation in 2018.

ArcelorMittal Kryvyi Rih's net profit increasing by UAH 2.36 billion or 87.41% to UAH 5.06 billion and its net revenue by UAH 13.23 billion or 24.98% to UAH 66.19 billion in 2017, compared with 2016.

ArcelorMittal Kryvyi Rih is the largest producer of rolled products in Ukraine. It specializes in production of elongated rolled products, including steel reinforcing bars and wire rods.

Mittal Steel Germany GmbH, which is part of the ArcelorMittal international holding company, owns 95.1266% of the shares in ArcelorMittal Kryvyi Rih.