GEOX got subsidies worth EUR 20 million, but it did not pay EVEN A THIRD into the budget
The employment of 1,250 workers and the opening of the factory of the Italian company Geox in Vranje in 2016 cost a total of 20 million euros in subsidies, i.e. 16,000 euros per job post, while the footwear manufacturer did not pay a third into the Serbian budget, through taxes and contributions, reports the portal Nezavinost.org.
The construction and start of operation of the Geox factory in Vranje, which is now shutting down, was financed by the Government of Serbia with 15 million euros, while Vranje supported this investment with additional five million euros.
A few days ago, the Italian company announced that it was closing the factory in Vranje, and as Jelena Jovovic Ristic, who worked as a shoemaker in Geox, told the Nezavisnost.org portal, no one from the management had told the workers that the factory would be closed.
The government has never revealed how much money of the taxpayers it spent on bringing in foreign investors, or how many people are actually employed in subsidized jobs, the Nezavisnost.org portal reports.
Furthermore, as it is pointed out, it is not known by what criteria the amount of subsidies is determined, no contract is available to the public and it is not known whether anyone except the president of Serbia negotiates with investors.