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Rustavi Steel to dismiss hundreds of employees

By Tatia Megeneishvili
Wednesday, August 12
The Rustavi Steel Company addressed the Supreme Court with the request to make a fair decision as soon as possible over the various lawsuits against the company.

The company supposes that if the decision is not made soon enough, they will have to dismiss more than 300 employees.

"Rustavi Steel Ltd. completed the reorganization process, about which the public has been informed. To date, 496 of the employees were already dismissed. So far, we have the reasons why we had to dismiss our employees and the reason is the critical condition of our company,” reads the statement released by the Rustavi Steel.

According to the administration, the Rustavi Steel was charged by former owners and the huge part of company’s property is sequestered.

“We brought to their attention the fact that artificially initiated disputes against our company are still active. About 10 million of property is still banned and we cannot use slag dumps. Our daily lose is over 20, 000 Dollars per day and it may lead us to bankruptcy,” reads the statement.

The Rustavi Steel Company addressed to the Supreme Court and asked for fair decision.

According to the administration, final decision over the case must be made till the August 22. The administration of Rustavi Steel stated that if the court will not make decision before the deadline, they will not have a choice and will dismiss employees.