Electrolux Suspends Plan for 1,700 Layoffs: Dialogue Started with Government and Unions

Electrolux has accepted to suspend, at least temporarily (for 50 days), the implementation of the reorganization plan announced in previous months that expected over 1,700 layoffs in Italy and the closure of the Cerreto d'Esi plant in the Marche region. The decision emerged at the end of the meeting convened at the Ministry of Enterprises and Made in Italy (Mimit), attended by representatives from the company, labor organizations, local institutions, and industrial associations.

The meeting, chaired by Minister of Enterprises and Made in Italy Adolfo Urso, resulted in a first concrete outcome: Electrolux committed to not proceed unilaterally with the measures foreseen in the original plan and instead to initiate a structured dialogue with the Government and social partners. The declared goal is to identify an alternative proposal that can ensure industrial sustainability, investments, and job protection.

The plan presented by the company in May is part of a broader international cost containment strategy developed to respond to the ongoing difficulties facing the appliance sector. In Italy, the project would have led to a significant reduction of the workforce and the cessation of production activities at the Cerreto d'Esi site.

During the discussions, Minister Urso formally requested the company to suspend any unilateral initiatives and to participate in a series of close meetings at Mimit. Meanwhile, the unions expressed their willingness to collaborate in finding alternative production and employment solutions compared to the initially proposed scenario.

The government also highlighted that Electrolux's situation is not an isolated case but is part of a broader crisis affecting the European sector of so-called "white goods," i.e., the major household appliances sector. For this reason, the issue has also been brought to the attention of EU institutions, with a proposal to recognize the sector as strategic at the European level through measures dedicated to production investments, competitiveness, and the protection of the internal market.

Undersecretary at Mimit Fausta Bergamotto described the company's openness as a first positive sign, emphasizing the need to transform the willingness to engage in dialogue into concrete results for the workers and the involved production sites.

However, it remains to be seen what the actual outcomes of the negotiations will be. Currently, there are no definitive indications on the possibility of keeping the Cerreto d'Esi plant operational or on any potential revision of the number of expected layoffs. In industrial disputes of this type, final agreements often include mitigation measures for social impact such as wage supplementation, relocations, exit incentives, or early retirements.

The parties will resume discussions in the coming weeks. According to the Ministry’s communication, the goal is to reach a shared solution by August that can define the industrial and employment future of the group’s Italian plants.