Shipyard Workers Protest, Minister Still Hopeful

Total Croatia News

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ZAGREB, November 5, 2018 – More than 1,000 workers of the Rijeka-based 3. Maj shipyard went on a protest march through the city centre on Monday morning, where they are expected to stage a rally and demand that their company be saved from bankruptcy.

The workers, who have called on local residents to join them in their protest, want 3. Maj to resume production, to be separated from the Uljanik Group and a new strategic partner to be found for it. They also want their representatives to be involved in talks with possible strategic partners.

The workers want Uljanik to pay back a 523 million kuna loan 3. Maj gave that Pula-based shipyard, they want 3. Maj director Maksimilijan Percan to resign and the dock’s business account to be unblocked.

Striking committee member Juraj Šoljić said that 3. Maj does not have a sufficient number of orders or alternative solutions, noting that workers often receive contradictory information about the shipyard’s future, which is why they want the Economy Ministry to state a clear position on the matter.

Economy Minister Darko Horvat said on Monday the state would not give away to partners the shipyards in Pula and Rijeka just because the two docks were currently facing financial difficulties, announcing a meeting with the new management of the Uljanik Group for Tuesday.

Responding to Hina’s question if strategic partners were at all interested in the Uljanik shipyard, Horvat answered in the positive. “Fincantieri, Smartholding and Damen have expressed interest at the talks in the 3. Maj dock and some interest in Uljanik. There is interest, but we have to be aware of the fact that we cannot give away the shipyards to partners because of the difficulties in Pula and Rijeka. These docks have the know-how, tradition and brand, which has its value,” Horvat said on the fringes of the 13th edition of a conference on managing electric systems.

Asked about what the new Uljanik management can do, the minister said he would hold the first working meeting with the new management as early as Tuesday.

Last Thursday, the group’s supervisory board appointed Emil Bulić chairman and Bojan Blagonić and Milko Mihovilović the other two members of the Uljanik Group’s management board. “We will see if the new people have new ideas. From our perspective, the position is relatively clear, we know what the state’s obligations at this moment are,” he said, commenting on possibilities for the enforcement of guarantees which the government has issued for Uljanik.

Speaking of the new overhaul plan, Horvat reiterated that the docks in Rijeka and Pula should be treated differently. “Their situations are entirely different, the situation in Rijeka can be saved, there are contracts for Rijeka, namely strategic partners who want the shipbuilding to continue and local government is not against the continuation of shipbuilding on the 3. Maj premises. As for Pula, there is still confusion there, there is almost no consensus whether we want the shipbuilding to continue there or if we want to turn one part of the dock into a real estate business,” Horvat said.

Asked to comment on workers’ protest in Rijeka, the minister said his position on this issue was the same as it was a month ago. “The state cannot make any more interventions. The sooner we agree, the sooner there will be a way out of this situation,” Horvat said, adding that the state wanted to get actively involved in the overhaul of the shipbuilding in both Pula and Rijeka. “We will help, but legitimately and slowly, after the verification of the restructuring plan by the European Commission,” Horvat said.

For more news about Croatia’s troubled shipbuilding industry, click here.

 

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