PKP Cargo confirms layoffs. Union members want compensation for Morawiecki’s decision

In early July, the PKP Cargo Management Committee reported that Collective layoffscovering up to 30% of all employees. Previously, at the end of May this year, the company’s management board decided to launch a referral program for up to 30% of the so-called employees who failed to provide work. He also proposed to terminate the company’s collective labor agreement and the agreement on the mutual obligations of the parties to the agreement.

In June, the Management Board adopted a resolution to unilaterally terminate the company’s collective labor agreement after a 24-month notice period. On June 27, the Management Board decided to submit an application to the court to initiate restructuring procedures.

The rest of the article is below the video

In an interview with Money.pl, Grzegorz Samek, president of the Federation of Professional Railway Drivers’ Unions, stressed that union members were surprised by the company’s decision. – At least as far as we know, there is no agreement or regulation with the unions on this issue, he said. – The consultation process was carried out, but we asked some questions that the employers could not answer. Therefore, due to the lack of accurate information, we could not reach an agreement, he said.

He believes it is disturbing that employers at PKP Cargi and its affiliated entities could not justify the number of employees that were forcibly terminated by management.

Grzegorz Samek said, “We believe that PKP Cargo will not be able to operate normally after the layoffs.

The Money.pl interlocutor also mentioned that those who were fired will have the opportunity to find jobs in other railway companies.

– While justifying the decision to lay off employees, the Management Board also informed about the signing of letters of intent with various companies. This sounds good in the media and suggests protecting employees. But In fact, not all laid-off workers can find new jobs. Because each employer selects only the employees he needs. When you have to meet with a recruiter and answer his questions, for example about your age, the situation is not so different – explains the representative of the Union of Professional Railway Drivers.

He also pointed out one of the reasons for the problems at PKP Cargo. – We presented a joint position with the Governing Council to Prime Minister Tusk. This concerns compensation for coal contracts, he said.

As you know, PKP Cargo transported about 4.5 million tons of coal on the orders of Prime Minister Morawiecki. This forced it to suspend contracts with customers with whom it had previously signed contracts. This resulted in specific losses. He added that PKP Cargo is still counting these shipments, but according to preliminary estimates, they could amount to hundreds of millions of zlotys.

On Tuesday, the management board of PKP Cargo and the company’s trade unions presented a claim for compensation to the prime minister. This concerns the costs incurred by the company in connection with an order to import 4.5 million tons of coal in 2022. Klimczak reminded that PKP Cargo is a public company in which PKP SA holds a 33% stake. Share.

Infrastructure Minister Dariusz Klimczak mentioned the demands of union members and management in an interview with Zet Radio on Wednesday. PKP Freight Regarding compensation for loss of contact in 2022. Klimczak said it was “not clear whether PKP Cargo will be compensated”The minister added that an opinion on the matter must be prepared by the Ministry of State Assets.

Infrastructure Minister assured PKP Cargo “has no way of failing and will not fail”He believes that the company will get back on track, as evidenced by new orders. Klimczak mentioned that PKP Cargo recently won a “very important contract” to supply coal to the Bogdanka mine, worth PLN 138 million. He also added that the company’s management is looking for other smaller spot orders.

According to a second source, PKP Cargo has decided to carry out collective layoffs. The amount of provisions related to the reorganization of employment at the company’s plants and headquarters is expected to be approximately PLN 249 million.The Group expects to save approximately PLN 423.4 million in personnel costs annually as a result of the layoffs.

PKP Cargo’s Management Board ensured that all positions were analysed prior to the collective layoffs. This included: effectiveness, importance of key activities and potential for adaptation to the new organisational structure. “The priority of this process is to minimise any negative impact on key areas of PKP Cargo’s operations” – highlighted in the company announcement.

Employees who are collectively laid off will receive financial compensation based on their length of service. The company noted that if the court makes a positive decision to initiate restructuring proceedings, it will be able to use funds from the Fund for Guaranteed Employee Benefits to cover the costs of collective layoffs.

PKP Cargo Acting President Marcin Wojewódka explained on July 10 The company is heavily indebted, has not repaid some of its debts, has not paid most of its invoices and needs to completely restructure its activities but maintain financial liquidity.“There is no thought of bankruptcy, liquidation or closure. The aim of the current management board’s actions is to repair the poor state of the company in terms of rolling stock, finances, organization and so on,” Wojewodka said.

The Acting President said that restructuring means preventing overdue payment interests, the possibility of exiting unfavorable contracts and preventing execution. The Governor stressed that companies under the Health Authority can participate in tenders and win as long as they pay social security contributions and taxes.

As part of the restructuring, the restructuring manager will prepare and implement a restructuring plan for PKP Cargo. The preliminary plan has been submitted to the court, which will decide on the initiation of restructuring proceedings. The Premier noted that collective redundancies were necessary given the current cost structure, the largest of which is employment costs.“Without reducing labor costs, we will not be able to save the company and thousands of jobs will be threatened,” the acting president said.