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ONLY GOVERNMENT CAN BE SATISFIED WITH DEUTSCHE TELEKOM BID - UNION

ZAGREB, Oct 5 (Hina) - The Croatian Post and Telecommunications Union (HSPT) believes the Government should make public the conditions under which Deutsche Telekom has purchased 35 per cent of Croatian Telecom (HT) shares and why there has been no signing of a social clause which would protect employees. "Only the Government, which will fill the budget, and not HT workers, can be satisfied with the offer of Deutsche Telekom, which will buy 35 per cent of HT shares at the price of US$850 million", HSPT president Josip Pupic told reporters on Tuesday evening. Workers, Pupic claims, "have been left high and dry as has been the union, which should secure their jobs". According to Pupic, both bidders - Deutsche Telekom and the Swedish-Norwegian company Telia-Telenor - had announced labour cuts in their initial bids. The HSPT president believes the Government should explain un
ZAGREB, Oct 5 (Hina) - The Croatian Post and Telecommunications Union (HSPT) believes the Government should make public the conditions under which Deutsche Telekom has purchased 35 per cent of Croatian Telecom (HT) shares and why there has been no signing of a social clause which would protect employees. "Only the Government, which will fill the budget, and not HT workers, can be satisfied with the offer of Deutsche Telekom, which will buy 35 per cent of HT shares at the price of US$850 million", HSPT president Josip Pupic told reporters on Tuesday evening. Workers, Pupic claims, "have been left high and dry as has been the union, which should secure their jobs". According to Pupic, both bidders - Deutsche Telekom and the Swedish-Norwegian company Telia-Telenor - had announced labour cuts in their initial bids. The HSPT president believes the Government should explain until when the strategic investor Deutsche Telekom must not participate in the purchase of the remaining shares which will be offered in a public bid. The union believes this deadline should be ten years at least. Twenty-one per cent of HT shares will be offered in a public bid next year. The state will keep 30 per cent of HT shares, whereas 35 per cent is now owned by Deutsche Telekom, and 14 per cent is intended for current and former HT employees and Croatian soldiers. Pupic also claims that the price of US$850 million is too low. The Government has failed to bind Deutsche Telekom with any terms, such as the development of the immobile and mobile systems and the Internet, Pupic said, adding the Germany company planned to shut down the mobile system between 2003 and 2004. The prices of some services in the immobile and mobile telecommunication network will increase, said Pupic, adding Telia- Telenor would most probably return to the Croatian market through a third concession for a mobile telecommunications network (GSM) or something else. (hina) rml

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