ST has been looking for 2,800 redundancies of which 1,000 were to come from French sites.
The Italian unions said ST was looking for 1,200 redundancies in Italy.
The Italian side of the company has been calling for the resignation of CEO Jean-Marc Chery, a Frenchman. However the French government has resisted these calls and, after talks between the Italian government, the unions and the company it has now been agreed that there will be no redundancies at Agrate.
It is also reported that ST does not plan to make any structural changes at its other sites in Italy.
“We welcome the company’s announcement to abandon redundancies at Agrate and present an industrial relaunch plan for the plant: it’s a step forward and in the right direction,” said Italian Minister for Business Adolfo Urso.
“This choice reflects the spirit of collaboration that has guided discussions so far, but it also requires all parties to be willing to take a concrete and collective step forward,” ST told Reuters.
ST says it sees the possibility for expansion of the Agrate site in 2027 when market conditions are expected to be better.
Like everyone else in the SiC business, ST has been hit by the slower than expected uptake of EVs.
