After almost two and a half centuries of hard coal mining in the Czech Republic, the country is saying goodbye to this industry. At the end of January, OKD, the last producer of hard coal in the Czech Republic, will begin mass layoffs, reports wnp.pl. A total of 900 people will lose their jobs by the end of February.
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The end of hard coal in the Czech Republic. OKD is planning layoffs
OKD intends to pay employees severance pay with a total value exceeding CZK 500 million, i.e. approximately PLN 88 million. Some employees will receive benefits equivalent to almost a year's earnings.
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However, the closure of the last active mine does not mean the end of OKD's operations. The company plans to transform its profile, focusing on alternative energy sources and real estate investments.
The last hard coal mine in the Czech Republic
The CSM mine, located in Stonawa in the Moravian-Silesian region, was the last place of hard coal mining in the country. Its construction began in 1958, and the first mining took place ten years later. Currently, when only 40,000 are left to be extracted. tons of coal, the mine closes its operations.
However, after mining is completed, OKD does not intend to cease operations. The company plans to invest in the real estate sector in Karvina and create a new industrial complex. The company emphasizes that the transformation of its operations is to ensure its continued functioning on the market and create new jobs in the region.
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In recent years, OKD has gradually closed subsequent mines, which was the result of declining mining profitability and rising energy costs. The company, which is currently fully owned by the state through Prisko, was taken over after the financial crisis and the bankruptcy of the previous owners.
