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Vértesi Erőmű power plant to lay off another 310 workers

The Vértesi Erőmű power plant, a unit of the state-owned power wholesaler MVM, will lay off another 310 workers by year-end, after cutting 240 jobs since the beginning of the year, István Ivák, press chief for the local council of Oroszlány, where the plant is located, told MTI.

The plant's unions and CEO Pál Szabó have signed an agreement on the new cuts, Ivák said. All of this year's redundancies will reduce Vértesi’s headcount from 2,100 on January 1 to 1,550 by year-end, he added.

To cut costs, Vértesi is selling several properties, among them lodgings for employees, a hotel, an office building and the miner's club in Oroszlány. The company will also discontinue its sponsorship of sporting events.

All of the measures were conditions for the approval of Vértesi 's business plan by MVM, which earlier took a proposal to shut down the entire plant off the agenda of a shareholders meeting to work out under which conditions the plant could continue to operate until its originally planned shutdown date in 2014.

Vértesi will not shut down its coal mine for a month in summer as earlier planned, Ivák said. (MTI – Econews)