Oltchim workers protest for unpaid wages, demand Romanian PM's presence, 5 on hunger strike

13 November 2012

Workers at the Oltchim chemical plant in Romania are resuming protests, demanding the salaries they are owed for September and October. Protests at the plant began yesterday (November 12 ) and are set to continue today with around 400 workers again expected to express their discontent and demand their wages, according to reports in the local media.

Despite the Government allocating EUR 40 million to cover immediate operational costs, employees have not yet been paid for the last two months, said Oltchim union leader Corneliu Chernev to the local press. “The mood is not good,” he told reporters, quoted by the Mediafax news agency. Five employees are reportedly on hunger strike and the protesters have demanded that Prime Minister Victor Ponta come to the plant to explain why they still haven't been paid. Their anger unassuaged by management representatives who spoke to them yesterday, the protesters shouted “Thieves, liars, down with the Government.”

Oltchim was up for privatization this year, but the attempt reached a disastrous crescendo in September, culminating in media mogul and populist politician Dan Diaconescu winning the bid, but being unable to settle the EUR 45 million bill. The privatization process, started during the PDL – backed Government and continued in the Social Liberal Union's (USL) Government, led by Victor Ponta, failed because Diaconescu did not pay the EUR 45 million within 10 days of winning the auction.

On October 1, the Government canceled the privatization and said it will re-start it in early 2013. The chemical plant has massive debts – over EUR 500 million – and it was hoped a large Russian investor would come in and take on the debt, as well as buying the plant. Gazprom showed some interest, but did not participate in the bid.

Liam Lever, liam@romania-insider.com

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Oltchim workers protest for unpaid wages, demand Romanian PM's presence, 5 on hunger strike

13 November 2012

Workers at the Oltchim chemical plant in Romania are resuming protests, demanding the salaries they are owed for September and October. Protests at the plant began yesterday (November 12 ) and are set to continue today with around 400 workers again expected to express their discontent and demand their wages, according to reports in the local media.

Despite the Government allocating EUR 40 million to cover immediate operational costs, employees have not yet been paid for the last two months, said Oltchim union leader Corneliu Chernev to the local press. “The mood is not good,” he told reporters, quoted by the Mediafax news agency. Five employees are reportedly on hunger strike and the protesters have demanded that Prime Minister Victor Ponta come to the plant to explain why they still haven't been paid. Their anger unassuaged by management representatives who spoke to them yesterday, the protesters shouted “Thieves, liars, down with the Government.”

Oltchim was up for privatization this year, but the attempt reached a disastrous crescendo in September, culminating in media mogul and populist politician Dan Diaconescu winning the bid, but being unable to settle the EUR 45 million bill. The privatization process, started during the PDL – backed Government and continued in the Social Liberal Union's (USL) Government, led by Victor Ponta, failed because Diaconescu did not pay the EUR 45 million within 10 days of winning the auction.

On October 1, the Government canceled the privatization and said it will re-start it in early 2013. The chemical plant has massive debts – over EUR 500 million – and it was hoped a large Russian investor would come in and take on the debt, as well as buying the plant. Gazprom showed some interest, but did not participate in the bid.

Liam Lever, liam@romania-insider.com

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