Alcoa Announces Curtailment and Collective Dismissal at Smelter

SEATTLE (Scrap Monster): Alcoa, Inc. announced curtailment of operations at its San Ciprian aluminum smelter in Spain. Furthermore, the company announced its decision to initiate a collective dismissal at the facility. The decision is likely to impact approximately 530 employees.

Earlier, by end-September this year, the company had announced that it would require up to 15 days in arriving at a final decision regarding the facility. The decision has now been taken, after considering all possible options, after considering the records in connection with the prolonged consultations with the workers’ representatives and the negotiations in relation to potential sale process. The curtailment is expected to be completed by Q1 next year. Around 100 employees will continue to remain at the facility, so as to operate a portion of the casthouse.

ALSO READ: GFG Ponders Plan to Save San Ciprian Aluminum Smelter

Announcing the decision, Roy Harvey, President and CEO, Alcoa noted that the company has finally arrived at a conclusion that the  San Ciprián smelter is uncompetitive and that its structural issues are unlikely to witness any change. The curtailment is essential to put an end to the continuing economic losses, which has totalled nearly $45 million through September this year.

The company is committed to minimize the impacts on its employees. It will offer severance packages and employment services for those affected.