Talks between Italian unions and crisis-hit carmaker Fiat over about 8,000 planned layoffs hit deadlock on Friday, a union official told Reuters.

“The negotiations have completely stalled,” Gianni Rinaldini, head of the Fiom metalworkers’ union, told Reuters. “The conditions are not there for an agreement on the positions taken by the company and we want a high-level government representative.”

Trying to reduce debt and revive its troubled car division, Fiat is planning a restructuring which includes laying off more than 8,000 staff for at least a year, Reuters said.

Unions and the government are negotiating with the company to try to limit the job losses, the news agency said.

According to Reuters, citing unions, Fiat confirmed on Friday that half of the laid-off workers would not be rehired.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Reuters said the unions had earlier proposed temporary layoffs of one week a month, rotating from plant to plant, saying this would help prevent complete plant closures. But one union leader told the news agency that the company had rejected the proposal.

Reuters said the metalworking divisions of Italy’s three main unions have pledged at least six hours of strikes before December 5, the deadline for Fiat, the government and unions to approve the industrial plan.