Halyvourgiki Hellenic Steel Industry

Halyvourgiki Hellenic Steel Industry S.A. (Greek: Χαλυβουργική–Ελληνική Βιομηχανία Χαλκού Α.Ε.) was one of the main steel producers in Greece, and the second largest after Viohalko.[1]

Halyvourgiki–Hellenic Steel Industry S.A.
Χαλυβουργική–Ελληνική Βιομηχανία Χαλκού Α.Ε.
TypeAnonymi Etairia
IndustryMetals, manufacturing
PredecessorAngelopoulos family
Founded1925
Defunct2020
Headquarters
Athens
,
Greece
Key people
Giorgos Varoufakis (Executive Chairman)
Giorgos Skindilias (CEO)
ProductsConstruction
Copper
Aluminium
Steel
Number of employees
600-700 (2006)

263 (2012)

170 (2018)
Websitewww.halyvourgiki.com

History

Halyvourgiki Hellenic Steel Industry S.A. was established in 1925[2] as a trading company. It moved into wire production in 1932, and steel production in 1938.

Production was modernized and expanded after World War II, with the company moving production into a new factory in Elefsina in 1953. The following years were its "golden age", as a construction boom connected with the Greek economic miracle lead to a huge increase in demand for steel. During the 1960s and 1970s, the firm was the only vertically-integrated steelmaker in Greece.[2]

Halyvourgiki faced serious economic problems during the economic crisis of the late 1980s and early 1990s in Greece, but managed to survive following a modernization program, which involved adding new products and technologies to the company.

Downfall

In 2012, the company experienced a dramatic downfall in production, with sales falling 70.62%.[3][4] In 2012, the firm owed financial institutions over €1 billion.[4] In February 2014, following a drastic drop in the demand for steel in Greece, and high energy costs, the company halted steel production, and suspended 200 of its remaining 263 workers.[4][5] Prior to that, 148 workers voluntarily retired.[5]

In 2015, the company permanently ceased production, but continued to operate for the sake of its employees.[2][6] In a 2018 interview with the head of the worker's union president, he stated that he had not seen the company's owner, Konstantinos Angelopoulos, in two years.[3] By 2018, the union stated that the firm employed 170 workers, who worked three days a week, down from an estimated 600 to 700 workers in 2006.[3] As of 2018, Halyvourgiki was more than €400 million in debt to private banks and the Greek public sector, and was unable to service its debt since 2016.[3]

References
  1. Η Ελληνική Χαλυβουργία γιγαντώθηκε Kathimerini newspaper, 5 December 2006.
  2. Chrysopoulos, Philip (2018-12-18). "Greek Steel Giant Xalyvourgiki Shuts Down After 83 Years". Greek Reporter. Archived from the original on 2019-09-01. Retrieved 2020-11-09.
  3. "Χαλυβουργική: «Είδαμε τον Κ. Αγγελόπουλο, εισπράξαμε μόνο σιωπή» - Τι αποκαλύπτει ο Πρόεδρος του Σωματείου Εργαζομένων". mononews (in Greek). 2018-11-28. Archived from the original on 2019-02-28. Retrieved 2020-11-09.
  4. Menzel, Konstantinos (2014-02-13). "Greek Steelworks Suspends 95% of Employees". Greek Reporter. Archived from the original on 2015-11-03. Retrieved 2020-11-09.
  5. "Greek steelworks face extinction". Neos Kosmos. 2014-02-24. Retrieved 2020-11-09.
  6. "Halyvourgiki steel producer grinds to a halt | Kathimerini". Kathimerini. Retrieved 2020-11-09.
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