Polish coal miner JSW reaches draft deal with unions on worker benefits suspension (updated)

Jastrzebska Spolka Weglowa SA

06/02/2026 14:45

Adds share move in paragraph 3, additional details from paragraph 4

Feb 6 (Reuters) - Polish state-controlled coal miner JSW JSW.WA said on Friday it had reached a draft agreement with trade unions to suspend some worker benefits, including an annual bonus known in Poland as the '14th salary', for 2026.

JSW, the European Union's largest producer of coking coal, has been struggling with weak demand, increased competition from cheaper imports, and high operational costs, swinging to a 7.24 billion zloty loss for 2024.

Trading in the company's shares was volatile following the announcement, extending gains by as much as 10.9% before reversing course and falling as much as 3.0% and later trading broadly flat as at 1422 GMT.

        The agreement, which will be put to an employee referendum on Feb. 12, is part of the company's efforts to obtain up to 2.9 billion zlotys ($812.2 million) in new financing by the end of March, it said.

It allows for the restored payment of suspended benefits if JSW’s financial situation improves while the agreement is in force, the company said.

The broader cost-cutting plan also includes selling non-core assets and merging mines into two "mining centres" to improve efficiency.

Talks at the company have historically been complicated by a fragmented system of dozens of trade unions.

($1 = 3.5706 zlotys)

 (Reporting by Alicja Surdy and Rafal Nowak, Editing by Louise Heavens and Matt Scuffham)

 ((AlicjaEwa.Surdy2@thomsonreuters.com;))