Network Expert
⚙️
🌟 Najlepsze dopasowanie
Wpisz szukaną frazę, aby zobaczyć propozycje AI.

Cuts at PKP Cargo

March 24, 2009 | Michał Koralewski

The Management Board of PKP CARGO has concluded another significant agreement with the trade union side, represented by 15 organizations – signatories of the Multi-Employer and Company Collective Labour Agreements (PUZP and ZUZP) – regarding the reduction of expenditures and costs incurred by PKP CARGO in connection with the implementation of certain provisions of the aforementioned agreements.

   By virtue of the agreement, certain provisions of the PUZP and ZUZP have been suspended:

  • the bonus fund has been reduced by 10 percentage points,
  • the payment of monetary awards for state decorations and honorary badges has been suspended,
  • the monetary gratuity for Railwayman’s Day has been suspended.

The suspension of the aforementioned provisions will be in effect from March 1, 2009, to December 31, 2009, and is expected to bring savings in the range of 50-60 million PLN. At the same time, from March 1, 2009, to December 31, 2009, the base salary of company employees not covered by the ZUZP (so-called contract employees) is reduced by 5%. Previously, the salary index for members of the company’s Management Board had already been reduced.

The above limitations on the company’s operating costs are a continuation of the anti-crisis program introduced by the PKP CARGO Management Board in December 2008 and the currently implemented savings program, which covers all areas of the company’s operations: administration, operations, procurement, repairs, etc. Since January 1, 2009, changes have also been introduced in the company’s organization, establishing 16 new facilities based on the previously operating 42 freight transport (and transshipment) facilities and rolling stock facilities, which has already brought measurable savings to the company.

Furthermore, the actions taken by the PKP CARGO Management Board regarding employment restructuring resulted in a reduction of the number of employees in the company by approximately 1,000 people by mid-March of this year compared to the employment level as of December 31, 2008. Further savings were achieved by the company’s Management Board based on the protocol of arrangements with the trade union side dated February 5, 2009. These enabled the referral of some employees to non-performance of work, where over 4,000 people are currently staying, which results in a reduction of salary payments in this group by approximately 40%.

Savings at PKP CARGO are being introduced in such a way as not to disrupt the normal work of the company. Investments are being carried out according to current needs, especially in the scope of repairs and modernization of rolling stock. The intensification of the commercial division’s activities is bringing noticeable effects. Despite the stagnation in the economy, the company has managed to acquire new transport contracts, taking some of them over from the competition.

The decline in transport in the fourth quarter of last year, which has been deepening since January of this year, is a serious challenge for the company’s Management Board, whose main task is to maintain the company’s financial liquidity. However, the overriding goal is the permanent stabilization of the situation at PKP CARGO, which the company’s Management Board is striving for with the cooperation of trade unions and the understanding of the need for the introduced changes on the part of the majority of employees.