17:32 20.07.2018

Ukroboronprom pays down UAH 1.9 mln in wage arrears at Mykolaiv Shipbuilding Plant, which resumes work

2 min read

Ukraine's Ukroboronprom state-run concern has paid UAH 1.9 million in wage arrears to the state-owned Mykolaiv Shipbuilding Plant, which has resumed stable operations, Director General of Ukroboronprom Pavlo Bukin said on Friday.

"Thanks to an effective integrated approach to solving the problems, Ukroboronprom helped the plant to resume normal operations. The plant received the most important thing - stable work – which will allow it to settle wage arrears and pay off debts. We are talking about UAH 4.54 million for wages for the first six months of work and another UAH 1.9 million to repay debt, Ukroboronprom's press service quoted Bukin as saying.

The plant has already received orders from the Ukrainian Navy and private customers. In 2018, the shipyard has already repaired small armored artillery boats and other vessels.

In addition, a financial plan has already been developed and approved for the plant, which since July introduced a new management structure and staff schedule that provides for a significant reduction in administrative and management and support personnel, without loss of functionality of the enterprise, the press service said.

The part of Ukroboronprom since 2011, Mykolaiv Shipbuilding Plant is one of the largest shipyards of Ukraine. It previously built warships. In recent years, the plant has experienced serious difficulties with receiving orders and with personnel.

As reported, Ukroboronprom in October 2017 said the plant would stop as there was no government decision to resume work at the plant, which was halted in February 2015 because the plant had not received payment for the maintenance of the unfinished cruiser "Ukraine." According to Ukroboronprom, the plant owed UAH 61.1 million in wage arrears as of the middle of December 2017.

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