Some Fiat Workers Should Share in Factory's Profit, Italy's Sacconi Says

Fiat SpA workers at the Pomigliano plant should be able to share in the company’s profit from the site, Italian Labor Minister Maurizio Sacconi said today.

“Pomigliano is an important investment that is being carried out not with public subsidies, but through workers’ willingness to boost production,” Sacconi said at a conference in Rimini, Italy. “As a result, these workers acquire the right not only to benefit from the fruit of their labor in terms of salary but also in the results of the company as well.”

Fiat SpA Chief Executive Officer Sergio Marchionne has agreed to invest 700 million euros ($890 million) in Pomigliano in an effort to revamp the company’s least efficient factory. He’s faced opposition from unions over his conditions of limiting strikes and increasing shifts at the site in southern Italy. Fiat is shifting production of its popular Panda model to Pomigliano from Poland to keep the plant operating.

Sacconi echoed comments yesterday by Raffaele Bonanni, head of the CISL labor union, who called on Fiat to allow Pomigliano workers to express their opinion on management decisions.

To contact the reporter on this story: Sonia Sirletti in Milan at ssirletti@bloomberg.net

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