The restructuring events database contains factsheets with data on large-scale restructuring events reported in the principal national media and company websites in each EU Member State. This database was created in 2002.
Mining / Quarrying Mining And Quarrying Mining Of Coal And Lignite 05 - Mining of coal and lignite
500 jobs Number of planned job losses
Announcement Date
14 April 2005
Employment effect (start)
14 April 2005
Foreseen end date
31 December 2005
Description
The National Company of Lignite Oltenia (Societatea Naţională a Lignitului Oltenia, SNL Oltenia), with headquarters in Târgu Jiu (Sud-Vest region, Gorj county) will make 500 of its 10,160 employees redundant in 2005. The company was listed in the Government Decision no. 300 of 14 April 2005, which establishes the number of redundant jobs in the whole mining industry in 2005.
The available production capacity of lignite of the company is more then 35 million tones a year and comes from the company's six open pit units (87%) and five underground units (13%). The geological resources are estimated at more than 2,000 thousand tons and are located in three counties: Gorj, Vâlcea and Mehedinţi (all three in the Sud-Vest region).
According to data released by the Office of State Ownership and Privatisation in Industry (Oficiul Participaţiilor Statului şi Privatizării în Industrie, OPSPI), the company's net results in the first half of 2004 were positive. Still, more redundancies are expected over the next few years, as all subsidies for lignite will have ceased by 1 January 2007.
Sources
30 June 2005: Office of State Ownership and Privatisation in Industry
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