RusAl Halts Production at Volgograd Plant

RusAl has begun cutting manufacturing capacity, notifying the management at its Volgograd plant Friday that it must cease output within the next few months.

The move involves massive layoffs at the plant, with only 10 percent of the 3,000 person staff remaining at the facility for maintenance purposes.

Some of the employees facing cuts will be offered moves to other RusAl facilities, while the rest will need help re-skilling and finding other employment, the company said, adding that the regional government, representatives of the plant's management and labor unions are seeking to resolve the issue.

RusAl CEO Oleg Deripaska said earlier this week that the company intended to halt production at a number of its plants by the end of this year to retain profit amid a worsening macroeconomic situation and falling aluminum prices.