Valve Industry Blog

ARCELORMITTAL, the world’s largest steel maker, said it may cut as many as 9,000 jobs, or 3 percent of its global workforce after reducing output as demand slumped.

The job cuts, in sales and administration, are part of the company’s bid to cut expenditure by US$1 billion, the Luxembourg-based company said yesterday.

ArcelorMittal, founded by Chief Executive Officer Lakshmi Mittal, 58, said on November 5 it was cutting output of steel by more than 30 percent as an economic slowdown erodes demand from builders and car makers. The company forecast earnings will slide as much as 48 percent to US$2.5 billion in the fourth quarter.

“This has been a difficult decision to take,” Executive Vice President Bernard Fontana said. “The global economic reality means that it is only sensible to adopt such measures.”

ArcelorMittal rose as much as 85 cents, or 4.5 percent, to 19.645 euros (US$25.315) on the Amsterdam Stock Exchange. The stock has lost 63 percent this year.