HŽ Cargo Management: Restructuring is Necessary

The management of HŽ Cargo respects the workers’ right to industrial action but warns that restructuring is necessary as the company operates according to market principles, states the HŽ Cargo press release.

The management emphasizes that restructuring is essential for business operations in accordance with market needs, i.e., economic and financial requirements ahead of the upcoming market liberalization that will take place on July 1, following Croatia’s entry into the EU.

HŽ Cargo operates on market principles, in line with the restructuring program for the period from 2012 to 2016, which is based on an analysis of the current state and operations, cost optimization, and liquidity improvement, according to the press release.

To improve liquidity, activities are being undertaken to collect receivables, reprogram credit and obligations to creditors, as well as cost rationalization, which includes the management of surplus workers.

The Croatian Locomotive Drivers’ Union organized a two-hour strike today at HŽ Cargo, while members of the Croatian Railway Workers’ Union protested at Markov trg.

The unions aimed to draw attention to the poor state of HŽ’s subsidiary companies, the endangered safety of transport, the lack of social dialogue, unresolved significant issues, misguided business decisions, and violations of workers’ rights through the strike and protest.

Between 12 and 2 PM, locomotive drivers halted freight trains on the tracks and shunting locomotives at marshalling yards.

The locomotive drivers wanted to simultaneously stop passenger trains, but had to abandon that plan as the court, at the request of the HŽ Passenger Transport Management, did not allow the strike, since the mediation process was not completed.

According to HŽ Cargo Management, the halting of 27 trains did not cause major difficulties in freight transport. Negative consequences will arise in the handover of international freight trains to neighboring railway administrations, i.e., carriers operating in their area, HŽ Cargo states.