Ethics in the digital workplace
Digitisation and automation technologies, including artificial intelligence (AI), can affect working conditions in a variety of ways and their use in the workplace raises a host of new ethical concerns.
Plumbing fixture manufacturer Ideal Standard is to close its plant located at Orcenico di Zoppola (in the province of Pordenone), with the consequent loss of 450 jobs.
The trade unions reacted to the company’s decision by organising some protest actions. Moreover the national and local authorities have planned some meetings with the company and the trade unions in order to find alternative solutions to the closure.
At the end of October 2013, the negotiations between social partners failed and the company has announced that the collective dismissals will start at the beginning of January 2014, with the consequent closure of the plant located at Orcenico di Zoppola.
For previous restructuring see Ideal Standard- IT2009.
Update, 21-11-13: The company and the trade unions have reached an agreement on a Wage Guarantee Fund scheme for the redundant workers of Orcenico. The measure will start at the beginning of 2014 and will last six months. Consequently the company has stopped the procedure of collective dismissals.
Update, 08-05-2014: Ideal Standard announced that it will cut 399 jobs and transfer part of its operational activities to the plant in Trichiana (Belluno). A meeting between unions and Ideal Standards will be held on 13 May 2014 in Rome. The meeting will be chaired by the Italian Ministry of Economic Development.
Update, 22-05-14: Ideal Standard announced that it would postpone the redundancies. The employees will be paid through an extraordinary wages guarantee from May to December 2014. If a solution is not found by December, redundancies may occur then.
Update, 14-07-2014: Ideal Standard has declared its unwillingness to apply for a special wages guarantee fund without an agreement on the future of the Orcenigo plant. If a solution is not found by 18 July, the company will proceed with the redundancies. The trade unions called for a strike on the 15 July 2014.
Update, 22-07- 2014: After a meeting in the presence of the Ministry of Labour an agreement to avoid the dismissal of 399 employees had been found. Workers will benefit from the special wages guarantee fund (the so called ‘CIG in deroga’) from 1 June to 31 October 2014. The Government said to be willing to extend unemployment benefits until 31 December provided that ‘significant progress’ will be made in the takeover of Orcenigo’s plant. If a solution is not found by next December, the risk of layoffs may recur.
Update, 11-09-2014: The wages guarantee fund has been extended to the end of December. In fact, the company could support the creation of a workers’ cooperative in the Orcenigo’s plant and keep the plants of Trichiana and Roccasecca operational if wage increases will be blocked for the next five years.
Update, 04-02-2015: Following the agreement signed in the presence of representatives of the Ministry of Economic Development, Ideal Standard was purchased by a cooperative formed by a group of former workers, Ideal Scala, who will take over the plant and part of the machineries, and be given the right to use the Senesi brand on favourable conditions. The cooperative is to begin with 50 workers and intend to hire back at least further 100 former employees over a three-year period out of the 399 dismissed on 1 January 2015.
Eurofound (2013), Ideal Standard, Closure in Italy, factsheet number 75704, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/75704.