Transcript EURACOAL Seminar on Restructing

Coal industry restructuring in Germany
Prof. Dr. Franz-Josef Wodopia,
Chief Executive,
German Coal Association
German Coal Mining History
139.4
117.4
531.9
577.5
144.7
coal production in Mt saleable
135.1
workforce (in thousand)
112.0
110.8
585.2
86.6
377.0
81.7
264.0
244.4
66.1
53.2
4.,8
178.8
186.8
1949
1959
driving re-construction after 1947
1969
1979
ECSC Treaty – Base of the EU
source: RAG AG
1
122.9
1989
92.6
25.7
78.1
1999
45.6
21.3
32.8
2009
coal crisis/RAG establishment 1969 future until 2018
12.1
20.9
Where did we start?
Establishment of Ruhrkohle AG in 1969: approx. 180,000 staff
mines
source: RAG AG, 2015
coking plants
2
Where are we today?
2014: approx. 10,200 staff
Steinfurt
County
Auguste Victoria
mine
Prosper-Haniel
mine
mines
source: RAG AG, 2015
3
Ibbenbueren
mine
Employment effects of the
German coal industry by region
thousand
100
additional workforce in
mining-related jobs:
90
80
• outside the mining areas
70
60
• inside the mining areas
50
40
Ibbenbüren
30
Saar area
20
miners
Ruhr area
10
0
miners
2007
total number of jobs created
by the hard coal mining industry
GVSt 2008
4
Implications for the regions: Number of employees in the mining
industry compared to total employment in the German Ruhr area
Hamminkeln
Haltern
Schermbeck
Xanten
Dorsten
OerSelm
Erken- Datteln
schwick
Hünxe
Bottrop
Waltrop
Voerde
Herten RecklingLünen
hausen
DinsGladCastropRheinlaken
beck GelsenRauxel
Oberkirchen
berg
Herne
hausen
Wesel
Sonsbeck
Alpen
KampLintfort
Marl
Werne
Hamm
Bergkamen
Bönen
Kamen
Unna
Dortmund
Neu-Moers
Duisburg
kirchenVluyn
Holzwickede
Bochum
Fröndenberg
Essen
Mülheim
Schwerte
EnnepeRuhr-Kreis
up to 0.1%
up to 1.0%
up to 2.0%
up to 3.0%
up to 4.0%
up to 5.0%
above 5.0%
source: Prognos, 2007
5
Hagen
Current rate of unemployment
(February 2015)
- Ruhr area: 11.2%
(between 7.3% and 13.9%)
- Germany: 6.9%
Our shareholder: the RAG Foundation
Tasks of the RAG Foundation
■
Socially acceptable adaptation of the
coal mining industry until the end of
2018
■
Floating of EVONIK Industries AG
on the capital market
■
Funding of the industry‘s perpetual
responsibilities from 2019 onwards
■
Supporting education, science and
culture in the mining regions
~ 68%
source: RAG AG, 2014
6
100%
Approved state aid to facilitate the closure of uncompetitive
coal mines according to the German closure plan
Article 3*: Closure aid (current production)
Article 4*: Aid to cover exceptional costs (not related to current production!)
million €
2500
Art. 3
Art. 4
2000
37%
48%
1500
54%
1000
74%
500
100%
0
2011
*
**
2012
2013
2014
2015
2016
2017
2018
2019 **
Council Decision 2010/787/EU
From 2019 onwards depreciations from the closure of the last mines and further costs of production units which have closed
shall be distributed over several years. Therefore this figure is only an estimate of the necessary Art. 4 aid in this year.
7
Measures for socially acceptable workforce
adaptation
■
For socially acceptable workforce adaptation, a comprehensive
package of instruments is available.
■
It includes:
■
statutory regulations,
■
collective bargaining regulations,
■
internal company programmes.
8
Age structure of the workforce
in the German coal mining industry
1970
1975
up to 19
1980
20-24
1985
25-29
1990
30-39
9
1995
2000
40-49
2005
50-54
2010
2014
55 and older
What we do
Strategy 2020 – More than just early retirement …
labour-to-labour transfers
early retirement
(StaffDevelopmentCenter)
qualification/retraining
special
mining-specific
early retirement regulations
on-the-job qualification
direct redeployment
in-house redeployment
temporary placement
redundancy payments
source: RAG AG, 2015
10
Which path do we follow?
socially acceptable workforce reduction 1997 - 2014
+ 9,390
81,000
40,880
26,560
10,190
2,210
10,550
YE 1996
- 70,810
source: RAG AG, 2015
11
YE 2014
RAG: staff transfers 2012 to 2018
Ibbenbueren region
Ibbenbueren
mine
620
400
960
840
West
mine
(closure
31.12.2012)
Saar
mine
(closure
30.06.2012)
Saarland
Auguste Victoria
mine
Prosper-Haniel
mine
50
Ruhr region
260
Service div.
2012
790
2013
1,340
2014
160
2015
90
2016
400
2017
350
2018
-
∑
3,130
GVSt 7/2012
source: RAG AG, as of 7/2012
12
early-retirement scheme of RAG
age
year of birth
underground
mining
49
50
51
52
53
1959-1963
adaption payment*
1964 - 1972
adaption payment*
54
55
56
57
58
59
60
transition payment**
61
63
retirement pension
transition payment**
1952-1963
62
adaption payment*
retirement pension
retirement pension
surface
1964
adaption payment*
* paid by the Federal Office for Economic Affairs and Export Control ("Anpassungsgeld")
** paid by the miners' pension insurance ("Knappschaftsausgleichsleistung")
source: RAG AG, 2011
13
ret. pension
Instruments for socially responsible workforce
reduction
Some 900 former miners now
work in the "white sector“.
Some 100 former miners now
work at Dortmund Airport.
source: RAG AG
14