Type
Bankruptcy
Country
Slovenia
Region
Slovenija; Pomurska;
Location of affected unit(s)
Murska Sobota
Sector
Manufacturing
Manufacture Of Material For Textiles, Apparel, Leather And Related Products
Manufacture Of Wearing Apparel
14.19 - Manufacture of other wearing apparel and accessories

245 jobs
Number of planned job losses
Job loss
Announcement Date
1 July 2019
Employment effect (start)
1 July 2019
Foreseen end date
31 July 2019

Description

Arum company, which emerged from the remnants of clothing maker Aha Mura, announced its bankruptcy. Before the closure the company employed 245 workers, mostly female. Arum went into financial troubles with the loss of the long-standing Italian partner Lubiam, which resulted in inability to pay social contributions for workers. The Financial Administration of the Republic of Slovenia refused to postpone the payments of the outstanding debt amounting to €222,000. The company asked for support to the Ministry of Economic Development, but this was not granted on the basis that the management had not presented a repayment plan. Workers expect to receive unpaid wages for April and May from the Guarantee Fund. For most of them, this is the third bankruptcy after the liquidation of Mura in 2009.


Sources

Citation

Eurofound (2019), Arum, Bankruptcy in Slovenia, factsheet number 98088, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/98088.