WARSAW, April 16 (Reuters) - Poland’s biggest coal producer, the state-owned PGG, warned on Thursday of significant financial losses and a need to close some mines unless it cuts miners’ working hours and salaries as part of its measures to adjust to the coronavirus crisis.
PGG asked the unions earlier this week to accept a cut in hours and pay of up to 20% for three months, which would make the company eligible for government help.
The trade unions rejected the offer and instead proposed that PGG stopped production for four days a month when workers would be entitled to 60% of their regular salary.
“The trade unions’ proposal is unacceptable as it will not rescue the company...We are in a deep crisis,” PGG Chief Executive Tomasz Rogala said in a statement.
He added that unless the company took the emergency action it had planned and the demand for coal continued to fall, PGG would start making a loss of 240 million zlotys ($57.56 million) a month.
Source: Reuters |
