Polish state rail freight operator PKP Cargo is appealing to the government for financial compensation. The company finds itself in troubled waters financially, which it says is partially caused by the so-called ‘coal decision’ by the previous government.
PKP Cargo, as well as the company’s trade unions, are appealing to Polish Prime Minister Donald Tusk for financial compensation. They want to see money from the government, which imposed the so-called ‘coal decision’ on the company.
The coal decision by former Prime Minister Mateusz Morawiecki obligated PKP Cargo to transport 4,5 million tonnes of coal with priority on the Polish network. The measure was in force from late July to early October 2022. According to Polish media, the decision was crucial in guaranteeing an adequate supply of energy resources in the country.
Unfortunately, this was no lucrative business at all. Now that PKP Cargo finds itself in deep financial trouble, it points to the coal decision as a partial culprit for its problems. Subsequently, the management board of PKP Cargo started legal proceedings against its predecessors. It accused them of failing to fulfil their legal obligation to defend the company’s interests as they executed the unviable coal decision. The previous board did not contest it.
PKP Cargo subsidiary goes down the same path
Meanwhile, PKP Cargo’s subsidiary PKP CargoTabor is following in its parent company’s footsteps. It is also filing a motion in court to open restructuring proceedings. PKP Cargo did so in late June and announced mass layoffs. The layoffs will affect approximately a third of the company, but a number of other PKP subsidiaries have signed agreements with the company to take over more than a thousand employees. Now, it seems that its subsidiary CargoTabor will not be spared either.