The state giving nearly EUR 6 million to Leoni and Sinterfus – Incentives meant for the employment of 1,100 workers

Minister of Economy Zeljko Sertic signed, on Friday, August 5, an agreement on incentives for the construction of two new production facilities and the employment of new workers in Prokuplje and Doljevac with the managing director of Leoni, Clemens Sachs.

The Leoni investment of at least EUR 22 million entails a full-time employment of at least 1,000 new workers in three years, and the subsequent increase by 500 new employees. This will bring the number of the company’s employees up to 5,202 at the end of the project’s implementation.

The investor obliges not to reduce the number of employees for five years after the completion of the project and to regularly pay earnings in the amount of the value of the minimum wage augmented by at least 20%.

The construction of the new facilities for the production of cable sets for BMW, Jaguar and Land Rover is supposed to be completed within the next three years. The Republic of Serbia will allocate incentives for this investment in the amount of EUR 5.5 million, which is 25% of the justified expenses.

Leoni has been operating in Prokuplje and Doljevac since 2009, as part of the Germany-based LEONI AG, which produces car cable sets.

An agreement on incentives has also been signed with the company Sinterfus, which deals in casting non-ferrous metals. They will invest at least EUR 2.5 million and employ at least 100 workers in the next three years.

The state will support this investment with EUR 315,000, and the investor obliges not to reduce the number of employees for three years after the completion of the project and to regularly pay earnings in the amount of the value of the minimum wage augmented by at least 20%.

The company is a member of the King LTD Group and, in addition to Uzice, it operates in Israel, USA and Turkey, and its main markets are Australia, Middle East, EU states, Israel and USA.

Ministarstvo privrede Republike Srbije

Leoni Wiring System Southeast d.o.o. Prokuplje

Sinterfuse d.o.o. Užice

Minsitry of Economy

Zeljko Sertic

Leoni

Clemens Sachs

BMW

Jaguar

Land Rover

car cable set production

Sinterfus

casting non ferrous metals

King LTD