PG Silesia Mine Issues: Owner’s Response

by Archynetys Economy Desk

The Bumech Group, the owner of Przedsiębiorstwo Górnicze Silesia, submitted an offer to the administrator of the PG Silesia rehabilitation estate to lease an organized part of PG Silesia. At the end of last year, Bumech also declared the takeover of selected employees pursuant to Art. 23(1) of the Labor Code.

In the current report published on January 8, Bumech referred to the information from January 7 that the court had discontinued the restructuring proceedings of PG Silesia by an invalid decision. Therefore, Bumech announced on Thursday that its management board has submitted a supplement to the offer of December 8 and “indicated additional conditions that must be met in order to reduce the company’s operating costs.” These conditions were not provided.

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Completion of the restructuring of PG Silesia and the lease of an organized part of PG Silesia are to be further actions opening the way to the implementation of the agreement on the protection of Silesia’s employees, concluded at the end of December 2025.

Wednesday’s information about the court’s decision to discontinue the restructuring proceedings of PG Silesia was important because, according to previous information from the Ministry of Energy, the Restructuring Law prevents public aid for companies from the mining sector subject to restructuring proceedings.

Layoffs of over 700 employees

In November 2025, the manager of Silesia’s restructuring estate notified the unions of its intention to make collective redundancies, which would apply to all over 750 people working in Silesia. In view of Bumech’s offer of December 8 regarding the lease of part of the Silesia mine, the court administrator of PG Silesia postponed the start of layoffs until January.

Employees of Silesia, who at the beginning of December last year unsuccessfully attempted to include their plant in the then amended mining act (to also cover them with the protections provided for employees of mining companies with State Treasury shareholding), launched an underground protest on December 22 on this matter.

An agreement was signed in Katowice regarding the protection of PG Silesia employees

An agreement was signed in Katowice regarding the protection of PG Silesia employees

On December 29, an agreement was signed regarding the protection of PG Silesia employees. The parties to the agreement are: the social side, represented by unions operating through the participants of Monday’s tripartite team, the government side, with the participation of, among others, Minister Motyka, the owner of PG Silesia – the Bumech company and the (current) court administrator of PG Silesia.

Bumech stated in the agreement that it maintains its offer to lease an organized part of the PG Silesia enterprise and take over all employees employed therein pursuant to Art. 23(1) of the Labor Code.

The court administrator/employer stated that in view of the above-mentioned obligations Bumech will not terminate employment contracts, except in the event that the lease is not concluded. The court administrator/employer also stated that he would not take any action to bring formal and legal consequences against the protesters.

The trade union declared that in view of the above employment guarantees, it would end the underground protest action and that no similar actions would be taken until the lease agreement was finalized.

Problems of the largest private mine in Poland. "Solidarity" the alarm sounds

Problems of the largest private mine in Poland. “Solidarity” is sounding the alarm

The government side mediating in the case emphasized that it will take steps by February 28 to develop legislative solutions that will enable, in the event of bankruptcy of the company mining in the Silesia mine, the allocation and protective benefits to cover employees working (as of Monday) underground and in the Silesia processing plant, if the conditions of the Mining Act in force as of January 1, 2026 are met.

Problems of the largest private mine

PG Silesia in Czechowice-Dziedzice mines in the largest private coal mine in Poland. Its share in the Polish market in 2022 was approximately 3%. in the production of thermal coal and 2.3 percent in total hard coal production.

In mid-2025, Bumech submitted a company restructuring plan on behalf of PG Silesia. Earlier, at the end of 2024, Bumech explained that one of the grounds for PG Silesia to submit an application for restructuring under the recovery procedure was the declining sales of coal.

The owner of PG Silesia, carrying out corrective actions at PG Silesia, reported a net profit of PLN 2.5 million for the first three quarters of 2025, while in the same period of 2024 the net loss amounted to PLN 76.6 million. In recent months, Bumech also informed about the diversification of its activities towards, among others, defense sector.

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