Forty-five employees of the Hellenic Halyvourgia steel factory will lose their jobs after the Supreme Labor Council approved the dismissals by a 4-3 majority vote late Wednesday.
It is the first time that the council – which brings together representatives from the labor ministry, workers' unions and employers – has given the green light for mass dismissals.
The decision will leave Hellenic Halyvourgia with 29 workers. The company, which had seen its workforce shrink from 107 to 74 employees following a wave of voluntary departures, wanted to bring the number down to 17.
Halyvourgia officials have blamed financial problems on soaring energy costs and foreign competition.