(MENAFN) ArcelorMittal's spokesman said that production has been stalled at the company's steel plant in Algeria after workers carried out their threat to launch an indefinite strike, Reuters reported.
The trade union representing most of the 7,200 workers at the plant said that it called the strike because ArcelorMittal, the world's biggest steelmaker, was flouting government guidelines on pay increases, and the company said that it is not bound by them.
The company's spokesman said that the strike has began and the facilities are paralyzed as a result of the strike.
The union threatened that workers would stay out on strike until they are given the pay increases they are demanding, or the government takes a controlling stake in the previously state-held plant.
The El-Hadjar factory, near the city of Annaba in eastern Algeria, produced 750,000 tons of steel last year. Most is for local consumption though some gets exported to the Mediterranean region.
ArcelorMittal said that it will seek to get the strike finished through the courts, as the company perceive these protests as illegal.