Stockholders Vote to Close Shipyard of Solidarity Fame
The historic Gdansk shipyard where the Solidarity labor movement was born will be closed due to mounting debt, stockholders decided Saturday.
The government, which owns 60% of the stock, wants to shut down the yard and begin bankruptcy proceedings. The yard’s debt is estimated at $135 million.
Solidarity founder Lech Walesa, who repaired battery-powered carts at the yard, organized strikes there in 1980 that led to the fall of the Communist government. Walesa went on to became Poland’s first post-Communist president in 1990. During his five-year term, the shipyard received large government subsidies.
In November elections, former Communist Aleksander Kwasniewski beat Walesa, and the new administration has refused to bail out the shipyard.
The government blames the shipyard’s troubles on bad contracts, lack of restructuring and bloated employment.
Solidarity union leaders said the decision to close the yard would put 7,300 employees out of work. They planned to protest the decision.
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