The number of employees in Zaporizhstal has decreased by 20% since the start of the war, but the factory continues to operate
The Ukrainian steel industry and heavy industry face a shortage of personnel, as most workers are at the front. In particular, the number of employees in Zaporizhstal has decreased by 20% since the start of the full-scale war, but the factory continues to operate, according to a Metinvest Group press release.
Zaporizhstal is currently the largest steel plant in Ukraine, as the Azovstal and Ilyich iron and steel factories were destroyed and are located in the temporarily occupied territory. Before the war, the company employed around 10,000 people. Currently, there are only 8,000 left. Nearly 1,100 personnel are fighting at the front and more than 500 personnel have been redeployed.
Work at the factory continues despite the almost daily shelling of Zaporizhzhia by the Russians. The plant's blast furnaces were suspended at the beginning of the large-scale invasion for the second time in the history of the enterprise, but a month later the situation at the front stabilized and the operation of the blast furnaces was resumed, the first two and then the third .
«It is impossible to suspend the operation of the blast furnace. It will take a month to restore it. That is why there are steel mills in Ukraine who do not abandon their jobs under any circumstances. They act like soldiers on duty», said Roman Slobodyanuk general director of Zaporizhstal.
In the current situation it is almost impossible to find qualified workers. Instead, Zaporizhstal trains new people, which takes a lot of time. The person responsible for blast furnaces must master the profession in five years. It takes six months to learn how to perform the simplest operations.
«The steel industry is a demanding industry: you need to understand what you are doing. Some professions require six months of training and others require five years. We have lost a significant part of the body of knowledge. We are trying to compensate for this, but it is a challenge,” Slobodianiuk added.
Many resilient and skilled workers, accustomed to discipline and difficult working conditions, are sought after in the Armed Forces. At the same time, without them, the industry is in decline.
Many mine employees were also mobilized to the front. In particular, the Ingulets Mining and Processing Factory (Ingulets GOK) employed 4.5 thousand workers until February 24, 2022, with only 2.4 thousand people remaining now.
«820 of our workers are at the front, while 26 were killed, around 20 are in captivity and 20 are missing. We are short of employees, many people are at war. Often one person has to do the work of two people. We have a lot more work each shift because there are very few of us», comments Mykhailo Tsurkan, HR director at Ingulets GOK.
In addition to staff shortages, companies in the sector face problems with logistics, energy and access to spare parts. These factors are hindering the use of productive capacity, the growth of exports and the payment of taxes.
As Compraço previously reported, in 2023, Metinvest reduced steel production by 31% per year – to 2.02 million tons, pig iron production by 36% per year – to 1.76 million tons, and products finished products by 18% per year – to 2.29 million tons. Iron ore production increased by 4% y/y – to 11.1 million tonnes, and coal concentrate increased by 10% y/y – to 5.45 million tonnes.
