Talks in Agonizing Bulgarian Military Plant Fail to Progress

Industry | January 24, 2013, Thursday // 19:24|  views

Photo by the Bulgarian National Radio

Talks between trade unions and the management of faltering Bulgarian major weapons factory VMZ Sopot have been called off for next week.

Trade unions have requested more information and specific data for optimization plans of the management, which says it needs to lay off some 2/3 of the factory's workers to get the severely indepted state company back on foot.

VMZ Sopot's workers, who have not received their wages for months, are still on a strike and tensions in the town of Sopot are boiling.

10 days ago, the privatization procedure for the plant fell through, after the only bidder failed to present an adequate proposal.

The center-right GERB cabinet, led by Bulgarian PM Boyko Borisov, has claimed that only a significant layoff, to be followed by privatization, can salvage the works.

The VMZ Sopot weapons factory is estimated to have gathered a debt of BGN 140 M, with significant parts of it overdue.

Proceedings against the factory by its creditors have already been started.

In Sopot, schoolchildren have rallied in support of striking workers.

Thursday representatives of pupils said that they have sent a letter to PM Borisov, requesting to meet him to discuss the situation.

We need your support so can keep delivering news and information about Bulgaria! Thank you!

Tags: VMZ Sopot, Sopot, Boyko Borisov, privatization, debt, workers, Strike, layoffs, weapons, military


» Related Articles: