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Algodonera Avellaneda Shuts Plant for Week With Court Hearing Looming

Santa Fe's labor minister intervened to ensure wages during the suspension.

Overview

  • The Reconquista textile plant halted production from September 29 to October 4 with only guard staff on site.
  • The textile union AOT filed a complaint alleging an illegal employer lockout and asked that the shutdown days be counted as worked, while the company denied a lockout and said it will pay wages for the stoppage.
  • Judge Fabián Lorenzini set a follow‑up hearing for October 3 and ordered Algodonera Avellaneda to file detailed financials 48 hours in advance.
  • The court instructed key power providers EPE, Edese and Secheep to maintain service and to attend the hearing alongside the company, the trustee, creditors and worker representatives.
  • The Vicentin‑linked firm is in restructuring with rising post‑concurso debts, a workforce of about 300 after 41 reductions since June, indemnity liabilities near ARS 274 million and a stated demand slump with excess stock at clients.