New clash on the former Ilva in Taranto between the Government and the unions: after a day of negotiations at Palazzo Chigi, the summit ended without an agreement.
In summary: the unions are asking for an industrial relaunch plan for the former Ilva and for employment protection, while the Government talks about a temporary production stop without indicating immediate resources or a certain industrial partner that can revive the fortunes of the plant.
Former Ilva of Taranto, clash between Government and unions
The unions speak openly of a closure plan, while the Government defends itself:
There is no desire to abandon Taranto, but months of transition and work for decarbonisation are needed.
The result: by the end of December around 5,700 workers will be on redundancy pay, which could increase to 6,000 in January. The overall workforce of the former Ilva is just under 10,000 units.
Business Minister Adolfo Urso explained that the new use of the CIG (Wage Integration Fund) is necessary to allow the work to stop and secure the coke ovens, preparatory to decarbonisation. This process, according to the Government’s intentions, should last 4 years.
The anger of the unions on the former Ilva
This is what Michele De Palma, general secretary of Fiom, commented:
In fact, a closure plan has been presented: there are thousands of workers who end up on redundancy pay. There is no plan with financial support for recovery and decarbonization. So we decided together as Fim, Fiom and Uilm to go to the workers and explain that the government’s choice as far as we are concerned is a choice that we will oppose with all possible tools.
This is how the general secretary of Uilm, Rocco Palombella, attacks:
It is an unacceptable plan because it starts from one assumption: to lead to the closure of the former Ilva. And we don’t want to be responsible for this. So far we have followed them: now they are condemning workers to an inexorable closure.
This is the complaint from Ferdinando Uliano, general secretary of Fim Cisl:
The Government wants to lay off 1,200 workers in three days, plus another 400 in January, with the prospect of stopping one activity, that of coke oven batteries. And there aren’t even the conditions to find a new buyer. Yes, it was decided to make money with the workers.
Currently the redundancy fund concerns a maximum number of 4,450 employees, of which 3,800 in Taranto.
The Government’s plan
The four-year plan presented by the Meloni Government to the unions aims at decarbonisation by trying to transform Italy into the first European country to produce only green steel. At the center of the project are new negotiations with a potential foreign buyer who has already had access to company data and expressed interest after a meeting deemed positive.
From 15 November until February 2026, maintenance work will be started on blast furnaces, steelworks and environmental systems. A second phase of work is expected from March 2026 which, in the Government’s hopes, should be carried out by the new buyer.
Then there is the remodulation of production with a plan that will lead, from January 2026, to the stop of the coking batteries and the alternate use of a single blast furnace.
The plan, as mentioned, also involves an increase in the use of redundancy payments, which will increase from the current 4,550 units to 6,000 workers by the beginning of 2026. The government is committed to guaranteeing financial coverage and income integration.
A key element of the transition will be the construction, within four years, of a Dri (Direct Reduced Iron) plant in Taranto, to produce steel with lower CO₂ emissions. The State and the Puglia Region will ensure the necessary resources and the supply of gas at competitive prices.
At the same time, the Taranto table at Mimit is evaluating over 15 industrial projects of Italian and foreign companies to diversify activities in the area, with a view to reindustrialization and sustainable relaunch of the steelmaking hub.
Who could buy the former Ilva
This is the official response from Palazzo Chigi, which expresses “regret” for the lack of agreement with the unions:
In any case, the Executive confirms its willingness to continue the in-depth analysis of all aspects and even the most controversial findings raised by the trade unions themselves to the proposals put forward by the government for the operational management of the company in this transition phase.
During the meeting, Minister Urso mentioned some potential investors interested in the former Ilva:
- Baku Steel, already present in previous negotiations;
- the Flacks Group and Bedrock funds, which submitted bids in September;
- a fourth subject covered by confidentiality whose name has not been leaked.
According to what is filtered, Bedrock would still be in pole position, but its industrial plan envisages a drastic reduction in employment, from 8,000 to around 2,000 workers, with the closure of the cold storage area and the replacement of the blast furnaces with just two electric furnaces. A downsizing that the unions reject across the board.
