The case of Embraco
offshoring 500 Italian jobs to Slovakia is a serious issue and
the European Commission will assess it to see if State aid rules
have been breached, European Competition Commissioner Margrethe
Vestager said Wednesday.
"The Embraco case is a serious thing and the Commission will
assess whether the rules on State aid have been respected, but
let's not give judgements before knowing the real facts,"
Vestager said in Brussels.
On Tuesday she promised Industry Minister Carlo Calenda she
would be "intransigent" in the case.
Italy argues Slovakia's low labour taxes and other incentives
may have broken State-aid rules.
The Brazilian unit of US multinational Whirlpool, which makes
fridge compressors, is shutting its plant near Turin with the
loss of almost 500 jobs.
Invitalia, the industry ministry's inward investment agency,
on Wednesday met an unnamed foreign firm that may be interested
in the Italian plant of Embraco, Calenda said.
"Scouting is going ahead," said Calenda, adding "I will meet
trade unions next week and bring them up to date on
developments".
Premier Paolo Gentiloni, for his part, said "no to fiscal and
social dumping in the EU".
He said this was why the government had made the Embraco
issue "an exemplary case".
Earlier Economy Minister Pier Carlo Padoan said the European
Union must be "severe" if Embraco's moving production from Italy
to Slovakia involves State aid on the part of the eastern
European country.
"I have great confidence in the competence and objectivity of
Vestager," Padoan said.
"If there is State aid (allowing low labour costs), as is
possible, I expect the Commission to take severe measures"
because State aid "is a serious violation of the internal
market", he said.
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