28.01.2010 ITALIAN POLITICAL PARTY CALLS FOR NATIONWIDE BOYCOTT OF FIAT

FIAT 500 C

The political pressure is ramping up ahead of a crunch meeting between Fiat and the Italian government and unions tomorrow with one junior party associated with the ruling coalition openly calling for a boycott of Fiat after the carmaker announced a domestic two week shutdown on Tuesday which will affect around 30,000 workers; the news coming just after Fiat post a fourth quarter and full year loss. Meanwhile as protests continue at the beleaguered Termini Imerese factory in Sicily, Fiat has taken the decision to suspend production at the plant.

Yesterday Giovane Italia, a junior partner tied to Silvio Berlusconi's ruling coalition called for a nationwide boycott of Fiat Group products in response to the two-week shut down and the gradual shift of production out of Italy. "[Fiat] headed by Marchionne has for years been pursuing anti-national policies, by outsourcing production to countries where labour is cheaper," Stefano Clerici, Provincial President of Giovane Italia and Council member for PDL in Varese, said in a statement yesterday. "Having received billions off the state in terms of grants and subsidised loans, after receiving public procurements, tax incentives and eco-incentives, today [Fiat] has threatened to halt production at Termini Imerese, resulting in the dismissal of thousands of workers."
 
"In addition to employees of the factory, the area will be damaged, causing loss of jobs in many small businesses working for Fiat," continued Clerici. "If the principle passes that this company, which is largely fed by the state, can close plants so large without dialogue with the workers and the government, after Termini Imerese, other Italian cities, even in Northern Italy, can be threatened."
 
"All this is unacceptable," concluded Clerici. "Giovane Italia has launched a campaign for the Italian people to rebel against these anti-national policies of Fiat, boycotting buying more cars, trucks, tractors and other industrial means of production. The 'people's boycott' should be extended to products throughout the Fiat Group in publishing, banking and finance, disposing of any shares or participation in funds they can identify with Fiat, withdrawing savings and closing any relationships with banking institutions that have Fiat amongst their shareholders." Giovane Italia intends to holds protests in around 30 cities to highlight the campaign.

Meanwhile yesterday the Minister of Labour, Maurizio Sacconi, was questioned on Fiat's decision to put workers in all its Italian plants onto the state layoff fund for two weeks: "As I've said before, we'll work to resume dialogue," he said adding that Friday's meeting will be dedicated to seeking "to rebuild an agreed strategy for the Group's growth." In reply to journalists who asked whether Fiat's decision amounted to 'blackmail', a term that has been used by the unions this week, Sacconi replied: "Our job is to find a solution.

Soothing the tensions yesterday was Fiat Group Vice Chairman, John Elkann, who said that Fiat wouldn't exit Turin. "Fiat to Turin is a life together and Turin to Fiat is the place where we are and will be," said John Elkann, the grandson of the late Gianni Agnelli. "This is where our mind operates and our heart beats."

 

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