Rome

Labour Minister doesn't agree that Italy's industry grim

Giovaninni says Fiat chief wrong about unfavorable conditions

Labour Minister doesn't agree that Italy's industry grim

Rome, July 31 - Italy's Labour Minister Enrico Giovannini said on Wednesday that he did not agree with automaker Fiat's CEO that the country's industrial conditions were unfavorable. Many of Italy's companies are continuing to "invest, grow, create jobs and profits, despite undeniable difficulties," Giovannini said during a radio interview. On Tuesday, Fiat group's chief executive Sergio Marchionne said during a conference call with media and analysts that the "conditions in industrial Italy remain impossible". Marchionne has launched several thinly veiled threats to shift the automaker's production out of Italy, apparently still smarting from a recent court ruling in favour of the left-wing FIOM trade union, which has clashed bitterly with Fiat several times in recent years. Italy's Constitutional Court ruled in favour of FIOM, the metalworkers' arm of Italy's biggest trade-union confederation CGIL, which petitioned against being excluded from Fiat's company union representation body (RSA) for not having signed labour agreements. Last week, Fiat warned that court ruling could have an impact "on its industrial strategies in Italy". (photo: Fiat group CEO Sergio Marchionne)

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