After five years, Geox Company is closing its plant in Vranje, leaving 1,200 people without a job, the Danas daily reported on July 28.
One of the workers confirmed that for the paper, with more details pending.
The Danas source said that during her recent visit to the southern town, Prime Minister Ana Brnabic “knew” that this was coming, but was “not ready to have this catastrophic news tarnish her visit to southern Serbia.”
The paper also reported that according to circles close to the factory’s management, the plant will not be relocated to Albania.
Geox opened its plant in Vranje in the winter of 2015, with President Aleksandar Vucic attending the ceremony.
The Serbian government had granted the Italian firm a EUR9,000 subsidy per employee, also approving additional funds to the company on its request, totaling between EUR12 and 14 million.