This is only the last episode between Fiat's boss and Italy’s largest industrial group’s labor unions over the new contracts that he has imposed at three of Fiat’s factories in order to reduce the number of absent workers and increase productivity.
Confidustria, Italy’s federation of employers, signed a deal last week with the three biggest labor unions over contracts that are binding if they have the backing of the majority of workers. But those contracts cannot be radically different from the ones being signed between the industry and the unions, nor are they retroactive.
The majority of workers in the three plants have backed the new contracts, bar the metalworkers’ FIOM, which has begun legal action. Thus Marchionne’s threat that, unless the legal action against the company, is withdrawn, he will leave the industry’s federation.
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