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29 January, 2007
German ICEM affiliate IGBCE has called recent statements by Economic Affairs Minister Michael Glos “irresponsible,” referring to the federal minister’s remarks that the stock market listing of German coal and industrial company RAG as a publicly-traded company must be tied with the removal of coal subsidies.
IGBCE President Hubertus Schmoldt challenged the comments on the eve of a summit on Germany’s hard-coal industry, which began yesterday in Berlin. “The economic minister endangers the coal discussions and creates an unnecessary uncertainty for 100,000 people,” said Schmoldt. RAG employs some 100,000 German workers in coal mines, power stations, chemical enterprises, and in real estate.
Glos has sided with provincial authorities in the provinces of North Rhine-Westphalia and in Saarland, who have called for the end of German subsidies to the coal industry. He has proposed that the capital raised from RAG’s listing could be used as a replacement for coal subsidies.
Schmoldt termed the plan “adventurism,” and called on the federal government to take more responsibility to assure a future for the 100,000 workers. “This is no way to run politics,” said Schmoldt, adding that the workers of RAG expect to be treated fairly inside a publicly-traded company. He said the listing of RAG is an opportunity for the German federal government to create long-term employment.
RAG is expected to be floated on the Berlin stock market in the second quarter of this year.