K-5's social contract will lower its sale value

They were included in the social contract signed between the government and unions in order to secure an agreement to merge the companies. "The State Treasury announced consolidation which will improve general levels of efficiency. However, these employment guarantees impede restructuring of the group," said an anonymous consultant. He added that overemployment in K-5, as well as sector as whole, amounts to 25%. "In the extreme case, severance packages for 2,000 employees would cost the group almost zł.1 billion, a sum which a future investor would deduct from the value of the company during privatization negotiations," the expert said. (Puls Biznesu, pp. 1, 4) M.M.