Liberty Ostrava wants to shut down the last coke oven batteries, it also owes insurance premiums

According to current information, the smelter already owes the social and health insurance of its employees to the state, and despite the unions’ fears that it cannot turn out well, it is also planning to shut down the remaining coking batteries. This in a situation where the energy self-sufficiency of the company is not ensured.

Trade unionists drew attention to the new financial problems of the Ostrava smelter. According to them, Liberty did not send the state the health insurance payment and part of the social security payment for March. Despite the statement of the smelter, how much the Liberty Steel group sends to Ostrava in funds to ensure operations, this is another risk factor for the future development of the company.

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Liberty Ostrava admitted the said difficulties, and even stated that the payment may continue to be delayed. “A certain part of the payments was delayed due to higher demands for cash as we gradually try to increase production and get employees back to work,” said company spokesman Ivo Štěrba. “We are in contact with those affected to resolve the situation effectively. Although we will always try to make payments on time, during the implementation of the restructuring plan and the financial stabilization of the company, there may be short-term delays in payments at certain moments,” added the spokesperson.

In a situation where the company owes billions to creditors, of which over two billion to energy Tameh, which is therefore trying to get out of its restructuring, this does not add much to the promising prospects. At the same time, he still does not know if he will be able to implement the restructuring plan prepared and approved by the majority of creditors. The Regional Court in Ostrava will decide on this in these weeks, while it will also have to take Tameh’s objections into account.

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“According to the current reports of the restructuring administrator, the necessary majority of creditors did not vote for the exclusion of Tameh and thus the restructuring plan could not be accepted. Until the court decides on restructuring, all statements of Liberty Ostrava are meaningless,” Tameh Czech spokesman Patrik Schober said, adding that the company is now insolvent due to debts from Liberty and is trying to reorganize itself by finding a new investor. This is the only way he can ensure operations and retain employees.

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Although this has been obvious for a long time, Liberty has meanwhile for the first time openly admitted that it will no longer cooperate with Tameh (former Energetika, which was spun off into a separate company under the previous owner of the smelter, editor’s note). As Deník already reported two months ago, plan B becomes plan A. “The management of Liberty Ostrava failed to reach an agreement with the management of Tameh Czech on the provision of energy supplies under fair and mutually acceptable conditions by the set deadline. That is why Liberty Ostrava will proceed with the implementation of plan B of the restructuring plan, which does not count on further cooperation with Tameh,” confirmed Ivo Štěrba.

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This means that the blast furnace will ideally be put into operation by the smelter at the beginning of next year, when Liberty builds its own energy complex. However, the trade unions are very pessimistic about implementation and deadlines. In addition, it also means the shutdown of the last remaining coke oven batteries. The smelter also confirmed this intention.

“The company will now start consultations and technological preparation for the possible shutdown of the two remaining coke oven batteries, which will lead to a further reduction in costs by more than 1 million euros (25.2 million crowns) per month,” said Ivo Štěrba, according to whom this does not mean job cuts . “The affected employees will be offered retraining and transfer to another position within the company,” assured Liberty Ostrava.

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According to the unions, this is a situation in which, however, the restructuring of the smelter is not possible. All the more emphasis will be placed on the wording of the future collective agreement. The current one expires in the middle of this year, negotiations for a new one have already started.