The U.S. aluminum producer Alcoa has come to an agreement with workers at their two Italian plants. The agreement involves a a temporary halt of one of the plants to help pay back aid Alcoa has received from the Italian government due to high power costs. The other plant will receive $74.5 million for upgrades and reconstruction, as well as cost cuts. The plant that is being idled will also be invested in. The plan does not involve layoffs of the 400 people who work at the plant, with most being transferred or reassigned, and a few taking early retirement. The Italian government approved a power decree in March as incentive to companies like Alcoa to continue producing in Italy. A spokesman for Alcoa said that they are still waiting for the official announcement of the EU Commission's evaluation, but believe it will be favorable.
See "Alcoa, unions agree 95 mln euro plan for Italy units", Svetlana Kovalyova, Reuters, May 17, 2010