Wage increase of 6.6% in Třinecké železárny this year

The Collective Agreement guarantees employees of Třinecké železárny earnings growth for the current year. Appendix dealing with the wage growth was signed by the senior management of steelworks together with representatives of ZO OS KOVO (the unions) on Monday 30 January 2017.

The Collective Agreement for 2017, beginning in January agreed authorized wage increase of 4.1%, and by further 2.5% in case of the fulfilment of a profit. If company gets on well thus employees may obtain overall increase in wages of 6.6%. As a part of the growth will occur strengthening within the wage tariff by CZK 50 at the same time.

Staff will profit again from the benefits given for 2017 such as food contributions, relaxing activity vouchers exceeding worth of CZK 3 500 and many other perks beyond the Labour Code. Company is about to increase a contribution to supplementary pension insurance by fifty Czech crowns this year.

"The following year, we are about to put the largest investment into modernisation and equipment renewal ever in the amount of 3 billion crowns. Naturally, it will affect the company's economy. "said Mr. Jan Czudek, the CEO of TŽ. In his words – investments are necessary for healthier company running and, keeping its position on the domestic and global markets. “It is our only defence against import from China and other countries – we strive to provide our customers with products and services that cannot be easily replaced," he added. He said that the company, respectively any staff member has to earn the salary increase. Despite the difficult situation on steel market Třinec factory has satisfying results in recent years.

On average, salary in Třinecké železárny exceeded CZK 29 100 in 2016, which oversteps the average wage in region as well as in the country. The total escalation was by 10.8% in 2016 in comparison to declared 4%. Even though opposed to the fourth-quarter, when the situation on the market was not easy at all due to a price increase, which negatively influenced the financial result.

“Accordingly, we have to thank people for their work and reward them. Our ideas about the salary amount may be different but it is important to remember that the company operates as a whole. There must be enough money for wages, equipment renewals, and repair and, last but not least available capital for new technologies in order to increase qualities of our products indeed,” claims Mr. Ivo Žižka, Director of Human Recourses and Administration.

“We are pleased to have agreed on a growth in such hard times,”commented the agreement result Mr. František Ligocki, the Chairman of ZO OS KOVO TŽ. He added that agreed priorities during the negotiations were promoted. “Even though not at a level which we have originally requested. We had to go to a certain compromise. Nowadays, I can say that we have managed to arrange a solid basic wage increase for staff of our company. Now the most important thing is to fulfil the financial plan and, thus to achieve economic results, thanks to which employees can expect another increase in wages," he added.

The Collective Agreement Appendix has been signed today by the TŽ Chairman of the Board Jan Czudek and Chairman of OS KOVO TŽ František Ligocki. Ivo Žižka also joined his signature as a member of the TZ Board together with Deputy Chairman of ZO OS KOVO TŽ Vladislav Heczko and the Chairman of the Trade Union of Tube Mill in Ostrava Martin Frömel.

The steel maker currently employs approximately 7,000 including plants in Ostrava-Vítkovice, Staré Město, Kladno and Bohumín.

Petra Jurásková
Press Secretary of the Třinecké železárny - Moravia Steel Group
phone: +420 558 535 841
mobile: +420 602 265 738
e-mail: Petra.Juraskova@trz.cz