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ArcelorMittal Zenica’s workers have gone on strike becacuse the company halted steel production at its integrated plant in central Bosnia and Herzegovina. The steelmaker also halted output at mines that supply it with iron ore, for 10 days, mentioning low demand as a result of COVID-19.


Halting production provoked the steelmakers’ workforce leading to the strike, according to media reports, however details also cite the walkout is in support of colleagues that were furloughed because of lowered production due to COVID-19 related shutdowns. Bosnia imposed a lockdown in March resulting in customers such as automakers, shutting down operations.


The steelmaker employs around 1,400 workers at the Zenica plant, and its coking unit is still operating. The plant has taken actions to cut costs and renegotiate prices with its suppliers. It also suggested pay cuts of 10-20pc for management positions, a quarter of its workforce, but company unions did not agree.


The procedures taken were not enough to warrant continuance of production, per reports.


The Zenica mill’s unions refute that demand has declined and propose that management is attempting to gain support and minimum wage expenses, according to reports, from the regional government under a law aimed at protecting the economy from COVID-19 impacts. 

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