"Validity of the Collective Labor Agreement in ArcelorMittal Ostrava"
ArcelorMittal Ostrava a.s. Věra Breiová tisková mluvčí T +420 595 683 200 M + 420 728 463 994 email@example.com www.arcelormittal.com/ostrava Validity of the Collective Labor Agreement in ArcelorMittal Ostrava was prolonged Ostrava, March 11, 2009 – Yesterday the representatives of ArcelorMittal Ostrava, the largest steel making company, signed an amendment to the Collective Labor Agreement. This amendment prolongs the validity of the current Collective Labor Agreement until the end of 2009. “We are glad that we agreed on compromise solution with the representatives of the Unions which provides more certainty and to all employees more peace for their work,” said Ctirad Lolek, HR director of the company when evaluating the negotiations preceding the signing of the amendment. On behalf of the management of the company the amendment to the Collective Labor Agreement was signed by Sanjay Samaddar, CEO and Chairman of the Board and by Josef Buryan, COO and Vice-Chairman of the Board and on behalf of the Union it was signed by Vítězslav Prak, the Chairman of the Union Counsel and by Stanislav Chmelík, Chairman of the Association of the Basic Organizations. ………………………..(citation of SS) Signing of the amendment to the Collective Labor Agreement and thus the prolongation of the validity of the current agreement means that the present wage and salary conditions and employee benefits will be preserved. Each employee of ArcelorMittal Ostrava is entitled to get five weeks of paid leave, catering allowances, special compensation when retiring and at the occasion of employment anniversary, pension insurance rider, recondition stays, protective drinks, etc. “Last year we contributed 42 million crowns to our employees just for catering. We spent also a significant amount for the pension insurance rider which in 2008 represented 7 000 crowns per employee on average,” said Lolek. According to Lolek, 532 employees went for the recondition stays for which the company contributed approximately 6 million crowns. The company gives also contributions for sports and cultural activities of the employees and their children. Special compensations are paid to blood donors. ArcelorMittal Ostrava a.s. is the largest steel company in the Czech Republic and a part of the world’s largest steel group ArcelorMittal. The company produces more than 3 million tonnes of steel annually and exports approximately 60 per cent of its output to more than 80 countries all over the world. The company has 6900 employees; the total number of employees including the subsidiaries is 10 000. The average salary in 2007 was CZK 27,419 while in 2008 it incresed to CZL 29,816. The major shareholders are MITTAL STEEL HOLDINGS A. G. (71.579 %), Harvton Investment Ltd. (13.881 %) and the Ministry of Finance (10.969 %). In the fiscal year of 2007 (which ended on February 28, 2008), the company generated a consolidated profit (after taxation) of CZK 9.2 billion. With total revenues of CZK 57,7 billion, ArcelorMittal Ostrava is one of the biggest tax payers in the Czech Republic.