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Hungary’s Electric, Mining Unions Oppose State Liquidation of Power Company

17 May, 2010

In manifestations scheduled for today and tomorrow, the Hungarian Union of Mining and Energy Industry Workers (BDSZ) and the Federation of Trade Unions in the Electric Energy Industry (EVDSZ) will turn out hundreds of workers and supporters to preserve the Vértes Power Station in northwestern Hungary. The electric generation plant, and adjoining coal mine, both subsidiaries of Hungarian Power Companies Ltd. (MVM), are in jeopardy. Today, the board of the state-run utility is meeting with bankruptcy and liquidation of Vértes the sole point on the agenda.

Today’s demonstration will take place in Budapest where the board of directors meet, while tomorrow’s will take place at the Orasźlany power plant, part of the Vértes company complex.

In a joint declaration by BDSZ President Ferenc Rabi and EVDSZ President Gál Rezső, the two national Hungarian trade union leaders said the decision to place immediate closure on the agenda comes without providing the necessary information to local trade unions and without full consultations. The threat of liquidation could mean the loss of 2,500 to 3,000 jobs in the region.

The Vértes Power Station consists of the Márkushegy mine and the Orasźlany plant, capable of generating 240 megawatts of power. The two unions insist that the power plant be maintained until at least 2014, and that the mine continue producing until the year 2020. Rabi and Rezső said the wishes of the local trade unions at the sites should be respected. Those unions have proposed an energy mix that will safeguard the environment and provide job security.

The two unions, in the declaration call, on Hungary’s National Assembly today to issue a resolution supporting their actions to preserve the power plant and mine.

The ICEM issued a letter of support today to Vértes workers and the two unions. In it, General Secretary Manfred Warda said, “Your manifestations today and tomorrow to preserve jobs, livable standards for families, and to keep local business enterprises around the Márkushegy mine and Orasźlany plant operable is exactly the rallying cry that workers worldwide must make to ensure sustainable futures. With a global trade union sustainability conference coming soon to Canada, your rallying cry to achieve a balance between clean environmental methods and security of employment is a leading example to all of us.”