PGNiG trade unions oppose government proposal for privatization plan

Trade unions at the Polish Oil and Gas Company (PGNiG) have come out against an Economy Ministry proposal to divide the company into 23 independent firms. The Economy Ministry's proposal, announced March 1, differs from company management's proposal to float the company on the stock exchange. Under the government's proposal, 23 companies would be spun off from PGNiG, which would then be privatized and allowed to sell gas and independently obtain contracts. "The Ministry has surprised us with their proposals," said Dariusz Matuszewski, chairman of PGNiG's Trade Unions Federation. "They mean that PGNiG would be de facto removed from the market. Such a division of the company introduces chaos, generates costs and does not solve the issue of the company's debt." (Puls Biznesu, p. 8) P.W.