Workers of New Zeljezara Zenica staged a protest this morning in front of the company’s administrative building, expressing dissatisfaction over what they describe as an inadequate response from the authorities. They also voiced support for the company’s management in its efforts to preserve production and jobs in Zenica and at the Prijedor Iron Ore Mine.
Speaking at a joint press conference with union representatives, Sales and Marketing Director Sasa Bozic said they were confused by the response to their request for the introduction of safeguard measures due to excessive steel imports, mainly from Türkiye, Italy and China, as well as other European Union countries, in order to prevent the collapse of domestic steel production.
“We expected our country to take this step. Every state has the possibility to introduce temporary safeguard measures for up to 200 days in order to protect its producers,” Božić said.
He added that they were surprised by the reaction of the Government of the Federation of Bosnia and Herzegovina, which, in their view, has the greatest interest in protecting the company. According to him, the company’s indirect economic impact amounts to around one billion BAM.
Bozic said they had initially received approval from the Federation government for the introduction of safeguard measures. However, a decision by the Council of Ministers of Bosnia and Herzegovina, delivered on Wednesday, differed from that position, as the Federation government allegedly changed its stance and instead requested the introduction of reciprocal measures toward Serbia, which had imposed quotas on steel imports.
He also noted that electricity subsidies in EU countries reach up to 50 percent. However, at a meeting held on Monday with the Federation government, they were informed that they could not count on electricity subsidies.
“They referred to reports they had read on online portals concerning our production capacity and product quality. That is not true,” Bozic said.
General Manager and co-owner Ahmed Hamzic said that since taking over the company in November last year, the management had communicated openly and transparently with the public. He reminded that the Federation government holds an eight percent ownership stake in the company.
“We counted on the promised support. The negative decision came as a shock to us,” Hamzic said.
He emphasized that employees and the union had recognized the management’s responsible and fair approach since their arrival in Zenica.
“We are not asking for subsidies. We are simply asking for basic conditions that would allow us to sell what we produce. We are the only country in the region with its own iron production, yet we are not protected,” Hamzic said.
He warned that the company has raw materials sufficient only until mid-May and is therefore unable to sign contracts for the delivery of three ships carrying coke worth 50 million U.S. dollars. The company risks being unable to sell the goods it produces, he added.
If the situation does not change, Hamzic said, the blast furnace could be shut down, effectively halting steel production in Zenica.
“The union is more concerned now than at any point in the past 20 years. I fear this could mark the final phase of the steel industry in Bosnia and Herzegovina,” said Rasid Fetic, president of the New Zeljezara Zenica union.
He added that there was no more time to wait and that all necessary steps would be taken to avoid the fate of workers at Koksara Lukavac and RMU Zenica.
Support for the company’s workers was also expressed by Almir Salihovic, president of the Metalworkers’ Union of the Federation of Bosnia and Herzegovina, and Kenan Mujkanovic, president of the Metalworkers’ Union of the Zenica-Doboj Canton.
“This is not only about the fate of 2,000 jobs in this company. It concerns the future of the entire metal industry, including mines and the railway sector,” Salihovic said, adding that he would participate in all union activities and provide full support in their efforts to protect workers’ rights, N1 writes.
