Spanish Eco Steel Solutions (ESS), a subsidiary of the roll recycling company Network Steel, has suspended its operations, Kallanish notes. The company informed the employee representatives of its intention to submit a letter of resignation.
The mandatory 15-day consultation period will begin next week. ESS operates a steel etching line in Aranda de Duero.
"The shutdown is caused by the global crisis affecting the steel sector, which in recent months has led to a sharp drop in prices, low demand, and high costs for electricity and operation, further exacerbated by ongoing international conflicts," says ESS. "The current situation in the steel market makes it impossible to profit from an environmentally friendly product like the one produced by ESS, which leads to economic losses," the company explains.
ESS informed the unions about the planned closure as an effective solution to the current situation.
Todor Kirkov Bulgaria
Kallanish.com
