Fincantieri Suspends Operations at its Italian Yards for 14 Days

Due to the coronavirus outbreak and the strict public health response implemented by the Italian government, cruise and defense shipbuilder Fincantieri has announced a series of actions aimed at countering the risk of infections in its shipyards, including a two-week closure. In stark terms, Fincantieri described the action as a necessary step to "protect the future of our company."

As requested by Italian trade unions on March 12, the company has decided to suspend production activities at all of its Italian sites. From March 16 to March 29, production will be suspended. The suspension of activities for a 14 day-period is consistent with restrictions imposed by Italy's health authorities for a quarantine. It will meet the government's requirements and allow all of the firm's workers to attend to their own needs in the current time of emergency. 

Once the situation is normalized, Fincantieri said that it plans to restart again at full production "in order to protect the future of our company and of our country, without resulting in an economic loss for the workers."

The firm's objective is to shut down quickly and restart quickly in order to meet contractual delivery deadlines. "Only by doing so, with a small sacrifice compared to Italy’s state of emergency, we will avoid jeopardizing our future while protecting the company's operational continuity, as well as maintaining the employment levels and the trustworthiness gained by Fincantieri," the company said. "Once the situation is normalized, the following ship deliveries will be performed in compliance with the contractual deadlines."

Fincantieri is the world's largest cruise shipbuilder, and its customers in the cruise industry face unprecedented financial pressure due to the coronavirus outbreak. As of Friday, all large cruise lines have suspended voyages from U.S. ports for a 30-day period; multiple port states around the world are taking similar steps to control cruise operations.