WARSAW - Poland will submit restructuring
plans aimed at saving its Baltic shipyards to the European
Commission, in compliance with an EU-imposed deadline, Treasury
Minister Aleksander Grad said.
If the Commission, the European Union's
executive body, rejects the plans, the three yards will have to
repay illegal state aid totalling more than 2.3 billion euros
($3.22 billion), forcing them into bankruptcy.
"We will send (the plans to Brussels)," Grad
told PIN radio.
"I think the analysis of these documents will
take some time, but we need to get an answer by October because
the uncertainty is killing the yards," Grad said.
State-owned Gdynia and Szczecin and the
privatized Gdansk yards employ about 15,000 workers but Polish
officials say as many as 60,000 jobs could be at risk if
suppliers and related sectors are taken into account.
Successive Polish governments have failed to
settle the fate of the symbolically important shipyards, the
cradle of the Solidarity trade union that helped topple
communism in 1989.
Grad did not say how many redundancies are
envisaged in the restructuring plans, which involve the payment
of further state aid - permissible under EU rules provided it
leads to the long-term financial viability of the companies
concerned.
"But productivity must rise if the shipyards
are to operate in a normal way. Of course, employment is too
high in some shipyards, especially in the administrative
sector," Grad said.
The yards have not made profit on a single
ship built since at least 2004, when Poland joined the EU, and
would not have survived without subsidies, though analysts say
that, properly managed, they could flourish.
If the Commission accepts the government's
restructuring plans, Warsaw would then have to prepare
privatization plans for Gdynia and Szczecin.
Ukraine's Industrial Union of Donbass, which owns the Gdansk
yard, is interested in buying Gdynia while private Polish firm
Mostostal Chojnice wants to buy Szczecin. - Reuters