PS Blasts Gov't for Failing to Address Rising Mass Layoffs

Bratislava, 28 July (TASR) - The opposition's Progressive Slovakia (PS) party on Tuesday called on the government to address mass layoffs, warning that they have become an alarming trend over the past two years. In response to TASR, the Ministry of Labour, Social Affairs and Family said that whenever layoffs occur, labour offices actively engage with affected companies and seek employment opportunities for displaced workers. MP Simona Petrik (PS) claimed that labour offices were notified of 47 cases of collective dismissals in the first half of 2026, putting more than 4,400 jobs at risk. Fellow MP Stefan Kiss (PS) added that several companies were instead been reducing staff gradually, meaning those losses were not reflected in the official statistics. In July alone, Turkish company Mata Automotive Slovakia announced a plan to cease operations in the Velky Krtis district, affecting 119 employees, while Italy's Askoll Group is slated to close its plant in the Nove Mesto nad Vahom district, where it employs 77 people. The company in Nove Mesto nad Vahom said the direct reasons for ending production in Slovakia are the current government's fiscal consolidation measures, including the financial transaction tax, a three-percentage-point increase in corporate income tax and a one-percentage-point rise in employees' health insurance contributions. Petrik argued that such measures have made Slovak companies uncompetitive, encouraging businesses to relocate to countries with lower taxes and social contributions, with thousands of workers ultimately losing their jobs. According to Petrik, Prime Minister Robert Fico and Labour Minister Erik Tomas should have "long ago stood before the public and explained how they intend to help companies and find new jobs for people who have lost theirs". Kiss said the burden of fiscal consolidation was falling most heavily on Slovakia's regions. He cited Kezmarok, where unemployment stands at 12 percent and German company Mubea announced in June its plan to end production there and dismiss all 120 employees by the end of the year. The Labour Ministry said labour, social affairs and family offices provide assistance to both employers and workers affected by mass layoffs through information and advisory services. Standard support includes career guidance, assistance in finding new employment and information on labour market programmes. The ministry added that unemployment remains at historic lows and that more than 150,000 job vacancies were available across Slovakia in June. Analysts at the Slovak Central Bank (NBS) said last week that a record number of people entered labour office registers in June following mass layoffs, particularly in western Slovakia. UniCredit Bank analyst Lubomir Korsnak said in a commentary on June unemployment data that more extensive layoffs in some sectors and regions will continue to push the unemployment rate temporarily higher, as seen in June. He added that part of the increase could become long-term, keeping unemployment systematically above the record lows recorded in the spring of last year. mf