Flextronics, Mimit: Demanding Transparency over Transfer of Trieste Plant
Rome, Italy – January 28, 2025 – The Italian Ministry of Economic Development (Mimit) has called for transparency from Flextronics International regarding the company’s decision to transfer its manufacturing plant in Trieste to a third party.
The transfer, which was announced earlier this month, has raised concerns among workers and local officials about the potential loss of jobs and the impact on the regional economy.
In a statement, Mimit said that it “is closely monitoring the situation and has requested detailed information from Flextronics on the reasons behind the transfer, the criteria used to select the third party, and the measures that will be taken to mitigate the impact on workers and the community.”
Mimit also emphasized the importance of “respecting the rights of workers and their trade unions.” The statement added that the ministry “will provide all necessary support to the workers and the local authorities to ensure a fair and transparent process.”
Flextronics, a leading provider of electronic manufacturing services, has operated the Trieste plant for over 20 years. The plant currently employs around 1,000 workers.
The company has not yet disclosed the identity of the third party to which the plant will be transferred. However, it has stated that the transfer is part of a broader plan to streamline its operations and focus on higher-value manufacturing activities.
Workers’ representatives have expressed skepticism about Flextronics’ assurances. They argue that the company has a history of outsourcing manufacturing to low-cost countries, and that the transfer of the Trieste plant could lead to job losses and a decline in the local economy.
Local officials have also echoed these concerns, calling on Flextronics to provide a clear and transparent explanation for its decision.
The Mimit’s intervention comes amid growing scrutiny of corporate mergers and acquisitions in Italy. In recent months, the government has taken steps to strengthen its oversight of such transactions, particularly those involving companies that receive public subsidies.
The Flextronics-Mimit dispute is expected to be a test case for the government’s new approach to corporate governance. The outcome of the case could have implications for other companies considering similar restructuring plans.
Flextronics, Mimit: necessaria trasparenza su cessione stabilimento Trieste
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