Fiat CEO looking to new Italian investments

MILAN: Fiat CEO Marchionne says he will start looking at investments at two other auto factories in Italy now that workers have agreed to a new contract at the Turin plant.

Marchionne told the daily La Repubblica that there is ``no alternative'' to expanding investments to the Melfi and Cassino plants.

Fiat workers at the historic Mirafiori plant in Turin this weekend approved 54-46 per cent more flexible labor rules. Fiat plans to invest euro1 billion ($1.33 billion) there as part of a planned euro20 billion investment in Italian plants.

Marchionne said in an interview published Tuesday that he would raise salaries if productivity increases.