EUR 7.5 million for Finns - Incentives promised to PKC for employment of 1,500 workers in Smederevo

Finland's PKC, which plans to open a factory for producing cables for the automotive industry in Smederevo, has been promised an incentive totalling EUR 7.5 million by the Serbian government for creating 1,500 new jobs, Novosti reports.

A Memorandum of Understanding signed by Smederevo Mayor Jasna Avramovic, a PKC representative and Deputy Prime Minister Aleksandar Vucic reads that the government has assessed that the investor will be qualified to get an incentive of EUR 5,000 per new job to be paid in three annual tranches.

The future factory in a rented facility of the private company Vimex should be in operation for a period of minimum one year, employing 500 workers. After that, the factory is expected to be relocated to a new production facility covering a surface area of no less than 20,000 square meters, which will be built by the City of Smederevo, the MoU reads.

An agreement is expected to be signed by February 2014. If the deadline fails to be met, the MoU will not be in effect any more.

PKC GROUP PLC Finska

Grad Smederevo

VIMEKS SMEDEREVO

Vlada Republike Srbije

car cables

automobile cables

automotive industry

employment incentives

Jasna Avramovic

Aleksandar Vucic