ArcelorMittal Poland has decided to permanently cease production at Huta Królewska in Chorzów. The installations at the plant will be stopped later this year. The company will make every effort to offer jobs in the other branches of the company or find other solutions for all of the 270 employees in the plant.
“This was an extremely difficult decision, taking into account the legacy and history of Huta Królewska. We are aware that this is the end of a historical chapter for the employees, and all those who are passionately connected to the steelworks. As a company, in recent years we have taken many actions to maintain production in this plant, but a combination of several external negative factors wiped out the impact of all our efforts. I would like to thank the employees of Huta Królewska for their conscientiousness, dedication and diligence, and to assure them that everyone who wants to continue working at ArcelorMittal Poland will find a place in our company“, emphasizes Wojciech Koszuta, chairman and CEO of ArcelorMittal Poland.
“Although Huta Królewska manufactures specialised products, its share in the total volume of ArcelorMittal Poland's production amounts to less than 1 percent. Also, the age of the installations means that in the coming years it will be very challenging to ensure safe working conditions for our employees. Significant financial outlays are necessary, which we cannot incur in the current, difficult situation of the steel sector in Europe, as it would be economically unjustified," explains Marek Kempa, COO Long Products at ArcelorMittal Poland.
Before making this difficult decision, the company took numerous steps aimed at maintaining the plant's production. In recent years, it has invested PLN 30 million in the site. Completed projects were aimed at expanding the product portfolio and improving product quality and included: scale breaker, modernisation of rolling stands, a new stamping machine and new control and measurement device for rails. ArcelorMittal Poland also attempted to find a strategic investor and establish a joint venture.
Production at the plant, which currently employs 270 people, will end in December.
"Longstanding, experienced employees are the pillar of our company, which is why we want them to continue working for us," emphasises Stanisław Ból, HR Director at ArcelorMittal Poland."In the coming weeks, we will meet with them individually to talk about opportunities and mutual expectations. We will also offer other solutions, which we will agree upon with our social partners”, he adds.
