The ongoing global economic slow down has forced steel-making giant ArcelorMittal to take up the decision of cutting 9,000 jobs across the group worldwide. According to a statement of the company, the cuts will reduce the costs by one billion dollars. The steel company is reported to be facing pressure from Chinese import. Announcing the decision, the executive vice president of ArcelorMittal Bernard Fontana stated that it is very unfortunate situation for the company as all the employees are extremely important to the company.

 

Although the company has registered huge profits in the first half of the year, but the lack of steel demand has hit the company. The demand of steel has declined because the car makers have slashed production. Informing about the job slashing exercise, a company official said that 6,000 of the planned job cuts will be in Europe. Report also says that the company will slash about 2,400 jobs at its factory in the US state of Indiana.

 

The lack of demand has forced ArcelorMittal to increase the production cuts in the last quarter of the year to 30 per cent from 15 per cent. While explaining the cause of job slashing, the company said that the weak economic condition of the company has prompted it to exercise such move. The company's situation has deteriorated due to strong steel exports from emerging economy countries, especially China.