Bulgaria Top Cable Providers Fire 300 without Warning

Bulgaria's "Cabletel-Eurocom" provider promises to compensate all 300 fired employees and to reimburse them for their unused annual leave. File Photo

Bulgaria's top cable providers "Eurocom" and "Cabletel" have fired 300 employees without warning.

The dismissals were executed just before the Holidays, on December 17, the Bulgarian Trade Union "Podkrepa" informed Tuesday, cited by the information agency BTA.

The country's labor bureaus and the Unions have not been notified about the mass discharge, as required by the Labor Code.

The two companies are going to merge in January after the Swedish investment fund EQT V (EQT) acquired 100% of "Eurocom" and 70% of "Cabletel" in November.

"Podkrepa" says they will provide support for the fired employees in seeking compensations through the court system and will notify the Swedish shareholders.

The Trade Unions further point out that such move is alleviated by Bulgaria's deficient laws which provide for a fine of only BGN 200 for firing an employee without warning.

The companies' revenues for 2009 are estimated at BNG 636 M, according to "Podkrepa," and the cable providers made the calculation that the illegal discharge of 300 people will lead to far lower losses of BGN 60 000. For this reason, the Trade Unions insist that the fine is increased to BGN 10 000 to 15 000.

"Cabletel-Eurocom," on their part, inform that the dismissals were triggered by the merger and the doubling of many jobs including management, administrative, customer service and technical support positions. They say they would “meet all legal consequences, arising from their decision.” The company promises to compensate all fired employees and to reimburse them for their unused annual leave.

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