Multi-million zł. pay-offs put Softbank in the red

Softbank, one of the largest domestic IT companies, may have to pay as much as zł.4.2 million in severance pay to its former deputy president Jarosław Ogorzałek - nearly twice the earlier prediction of zł.2.06 million. The company will also pay zł.2.3 million in remuneration and severance pay to nine other senior executives. If not for those payments Softbank would post a profit in Q2 this year instead of its zł.4.8 million loss. Softbank's spokesmen Andrzej Grzelec explained that the managers were laid off as a result of both "changes to the company's organizational structure, which is being adjusted to its new strategy, and a cost-cutting scheme." He added that "further maintenance of those resources would be even more costly for the company." Jarosław Ogorzałek was the last senior executive from the former board which managed the company before Prokom became Softbank's investor. (Parkiet, p.1) E.B