Embraco 'serious issue' says Vestager (4)

(ANSA) - Brussels, February 21 - 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.