Brnabic: INVESTORS who came because of the CHEAP LABOUR are LEAVING
Prime Minister Ana Brnabic stated that, if the Italian company Geox closes the plamt in Vranje, the employees of that company will not lose their jobs because state will find a new investor.
She said that Geox has huge problems, which, according to her, are largely conditioned by the crisis due to the coronavirus pandemic, but also the fact that it is “one of those investors where a large part of business costs relies on workers’ salaries.”
“They came to Serbia in 2014 because at the time we were a destination that was promoted as a cheap labour force country and that is why, as average wage and minimum wage grow, we will have a problem because labour-intensive investments will move to countries with lower wages and cheaper labour force,” the prime minister said.
Stating that the departure of Geox is still not “a 100 percent confirmed information”, the prime minister said that, even if this happens, she expected such an outcome, not only in terms of the Italian company, but also “some other investors” in the foreseeable future.