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Strike Threat Curbs Polish Government’s Privatisation of Coal Sector

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29 January, 2007

Polish mining unions stood their ground with the country’s Economic Ministry over total privatisation of two coal mining companies, as well as the sale of several mines of Europe’s largest coal producer, Kompania Weglowa (KW). A compromise agreement was reached late on 22 January between 12 miners’ unions and Economy Minister Piotr Wozniak, an agreement which halted a planned 24-hour warning strike, scheduled to start on 24 January.

Coal miners balloted to strike on 18 January after 62% of the country’s 122,000 affected miners voted by 97% in favour of industrial action. A general strike was to follow the warning strike on 1 February if the privatisations and a plan to link miners’ salaries with production were not reached.

 

The compromised consensus agreement states that the privatisation of mines will be considered on a case-by-case basis, and on condition that the government retain a majority stake in the coal sector. The Economic Ministry last September proposed the sale of state-run companies Jastrzebska Spolka Weglowa (JSW) and Katowicki Holding Weglowy (KHW), as well as selling some of KW’s 17 pits, as part of the government’s mining sector reorganisation strategy for the years 2007 to 2015.

The trade unions, including the ICEM affiliate Miners’ and Energy Workers’ Section of Solidarnosc, have been critical of the government’s minimum investment programme for coal mining, and feel that partial privatisation or management buy-ups of some mines could inject the necessary capital.

The issue of the remuneration-to-productivity ratio is still unresolved, and the mineworkers’ unions are hopeful that continued dialogue with the government will solve this important issue.