The management of Zakłady Ceramiczne Bolesławiec provides the fullest information about the situation. In a letter to employees, the management wrote that the situation was dramatic. Staff were asked to consider taking unpaid leave, but this is only a request.

“The situation is dynamic. The management is taking various measures. One of them is a paid stoppage at the plant. The final decision has not yet been made. An employer cannot simply ‘send’ employees on unpaid leave. Unpaid leave may be granted only at an employee’s request,” explains Wiesław Ogrodnik, president of Zakłady Ceramiczne Bolesławiec.

Here is the text of the letter received by the employees.

Bolesławiec, 19 March 2020

Dear Employees,

Due to the deteriorating financial situation of our company, which is worsening day by day and is manifested mainly by the possibility of losing financial liquidity, that is, a lack of cash in bank accounts, caused by the COVIDF-19 virus epidemic

the management appeals to all employees, with a special request, to consider taking unpaid leave from 1 to 10 April 2020, and those employees whose financial situation allows it, from 1 to 30 April 2020.

On 18 March, information about the company’s current financial situation was presented at a meeting with the heads of organizational units. The situation is dramatic because funds are disappearing from bank accounts as a result of the complete disappearance of sales of our products caused by the epidemic. The epidemic is an unforeseeable event; no one could have predicted its consequences. The management is taking all possible measures, both for the safety of the staff and in the financial sphere, to maintain operations.

Since January, we have recorded a decline in commercial orders on the export market, and since the beginning of March also on the domestic market. Our customers are not collecting goods they ordered and that have already been produced. Most wholesalers are closed.

We have recorded a sharp decline in sales in the online shop and company stores. In the current situation, we are unable to predict whether and when orders will return. The risk of losing financial liquidity, that is, a lack of cash in bank accounts, is enormous. There may already be insufficient funds to pay salaries in May.

We are asking our suppliers for the possibility of deferring the payment deadlines for the largest payments. The government is preparing a support package for businesses to enable companies to partially mitigate the effects of the epidemic. We are counting heavily on support from the 40-40-20 program. The relevant bills are to be adopted by the Sejm at the end of next week. Having analyzed the government’s proposals, we conclude that they may be insufficient for our company.

The management is also considering introducing a stoppage at the plant. In the current situation, however, this option is less beneficial for the Company because it would produce only minor savings.

Aware of the situation and its responsibility, the management appeals to employees to consider taking unpaid leave.

Employees who decide to take unpaid leave may submit the relevant applications to their direct supervisors by 26 March 2020.

The management emphasizes that its request must in no way be treated as an order, but only as an appeal for understanding of the dramatic situation in which the Company has found itself due to the rapidly changing market environment.

Wiesław Ogrodnik, president of the management board

Piotr Maliszewski, member of the management board

Paweł Zwierz from Manufaktury told us that for now his company has orders and is operating normally.

The situation is similar at Ceramice Artystycznej. The plant is not currently anticipating stoppages or production restrictions.