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Information from the Management Board of JSW

Next meeting of the Provincial Committee for Community Dialogue scheduled for 5 May 2011

We are surprised to receive the successive statements from the spokesperson of the Inter-Union Protest and Strike Committee and warnings of resuming strikes at JSW. In the opinion of the Board, yesterday’s talks of the Provincial Committee for Community Dialogue, with the participation of the Undersecretary of State in the Ministry of Treasury, were very constructive, carried out in good faith, and brought both parties closer to agreement. It is all the more surprising to hear the aggressive tone of the IUPSC statements and the warnings of further strikes.

The next meeting of the Provincial Committee for Community Dialogue is scheduled for 5 May 2011, but after the end of yesterday’s negotiations (28 April 2011), the Board, impressed by the positive tone of the talks and the visible good will of both parties to continue the negotiations, invited the community today (29 April 2011) to the Company’s registered office in order to continue the dialogue. The community refused to participate. Regardless, the Board has undertaken further attempts at negotiating with the strike committee with regard to solutions favourable to JSW Employees. We hope that the community does not refuse the invitation to talks scheduled for the morning of 2 May 2011.

The Board feels strongly about reaching a compromise with the community as soon as possible, for the benefit of both the Company and the Employees, which is why it pronounces its readiness to continue the negotiations at any time. The Board’s offer related to the employment guarantees is still standing. The Board is also ready to negotiate with regard to, among other issues, extending the period of job security or guaranteeing in writing the retaining of all current employee entitlements, e.g. Miner’s Day (St. Barbara’s Day), second annual bonus, anniversary awards, etc.

As for the accusations of the protest committee with regard to a court settlement of the matter of the legality of coal shipments blockage, the Board would like to inform that it is obliged to care for the Company’s property under civil and criminal law sanctions, as stipulated by the Polish Commercial Companies Code.
On 19 April 2011, that is prior to the decision on convening the PCCD, the Board issued an instruction to submit to the court the question of whether the coal shipment blockade planned by the unions is legal. We hope that the court will share the Board’s view on the matter.