The deadline to avoid collective dismissal expires on the 30th. Pending the binding offers, only half of the investors want to buy the factory in A Coruña. 400 direct jobs in the city hang by a thread
Alcoa is the most energy-dependent of all the industries in the electro-intensive sector, which holds 5,000 jobs in Galicia. With the plants of A Coruña and Avilés stopped since February, the multinational already only produces aluminum in Lugo. Almost 400 direct jobs in A Coruña and another 300 in Asturias are hanging by a thread: there are only four weeks left to achieve the sale. Half of the current offers include both factories in batch. The other half leaves the Coruña factory without a future. Investors, also pending the electrical regulation
The 375 families of A Coruña who live directly from work in the A Grela aluminum factory «owned by the Aluminum Company of America (Alcoa) since 1998 and previously by the public company Inespal» have been under the sword of Damocles closing. The threat of closure of the US multinational ultimately crystallized in the employment regulation dossier (ERE) signed in January, which provides for a single exit to avoid the collective dismissal in A Coruña and also in Avilés: the sale. The term ends on day 30, within four weeks.
At what point is the sales process? Alcoa is in negotiations with six potential buyers «at the beginning there were 12 who passed the filter of the Ministry of Industry, collaborator of the process». Companies have submitted their initial offers (which can be withdrawn) and those that are determined to buy must take a firm step in the coming week with the binding offers. The ERE marks June 30 as the deadline for the sale.
Who can buy the Alcoa factory in A Coruña? Only three of the six investors currently interested include the Alcoa factory in A Coruña in its project: the British Liberty House «owns several factories of the steel leader ArcelorMittal», the venture capital company Parter and the Spanish Riesgo (IR Group). Liberty is, a priori, the one that offers the most industrial solvency in the eyes of workers. These three companies aspire to take ownership of the two factories. However, many others have moved to the multinational offers that only include the Avilés factory: Aludium, Quantum and Cunext.
What will happen if Alcoa closes the agreement with one of the investors who only want to buy the Avilés plant? The ERE provides for the possibility of different futures for each plant for sale. If they are sold in batch, both are saved. If one of them is sold and the other is not, the collective dismissal will be applied in the factory that is excluded, in this case A Coruña.
What does it mean for the plants of A Coruña and Avilés to be excluded from the next bidding of electric premiums? The aluminum factories of A Coruña and Avilés will not have a bonus to moderate the electricity bill for the second half of the year. This makes it difficult for the potential buyer to restart the activity «the electrolysis is stopped since February» this year. The chairman of the Alcoa works council in A Coruña, this week against the Government lashed out: «They deceived us and the public,» he criticized. In March, Red Eléctrica reported that the two plants would be out of the premium bid for the interruptibility service due to the cessation of production. In that pre-electoral context, the Government denied it. Last Monday, after the elections of 26-M, the Government published in the BOE the call for bids and confirmed the exclusion of the factories of A Coruña and Asturias. The Executive played down this fact, citing its decision to raise from 91 to 200 million «depending on budget availability» the aid for the CO2 emissions costs of the electrointensive industry.
Why is electric regulation so important for Alcoa? Alcoa is the most electrointensive company in Spain: it dedicates 40% of its production costs to pay the electricity bill. This is because in order to produce primary aluminum from alumina, electrolytic cells must be heated to 950 degrees. Its dependence on energy means that the electricity tariff has a huge impact on its business viability.
In what situation is Alcoa San Cibrao? The San Cibrao (Cervo, Lugo) is the only Alcoa plant in Spain that is not affected by the ERE. They are actually two plants: one of alumina «more profitable, which provides this raw material to all Alcoa in Europe» and another of primary aluminum, larger than those of A Coruña and Avilés and the only one that maintains this activity in Spain. It gives direct work to 1,200 people and the works council warned that its closure would be «a hecatomb» in A Mariña. Alcoa has slipped the idea of its closure: «If urgent measures are not taken, the production of aluminum will be unfeasible in Spain,» he warned on Monday.
What can happen on July 1? If there is a buyer for the factory in A Coruña, this will subrogate 100% of the workforce. If your project is to maintain aluminum production, Alcoa will pay you 20 million to reactivate the installation. If there is no sale or any solution of reindustrialization, on July 1 will begin to apply collective dismissal. In this case, the 114 jobs of the foundry and the pasta tower (one third of the total) would be maintained only «for a time without determining». The other workers would lose their jobs, between early retirement, relocations in San Cibrao and dismissals. As a last table of salvation, there would be public intervention claimed by the workers.
