Rafako in restructuring, in search of investor

Restructuring proceedings have been underway at Rafako, the largest producer of power boilers in Europe, since September 2020. As part of this, the company has carried out a collective redundancy in recent months, laying off 360.

– Many people are fed up with the situation in the company, some are looking for a new job – trade unionists alarms.


Restructuring proceedings have been underway at Rafako since September 2020. As part of this, the company has carried out a collective redundancy in recent months. 360 employees left Rafako, and the company currently employs approx. 1,100 people.

  • The company’s situation results from the many irrational decisions of the previous management. With such important investments as the construction of a power unit at the Jaworzno Power Plant, where Rafako was the general contractor, many mistakes were made, which affected the company. Currently, due to the pandemic, the company lacks orders, explained Marek Tylka, president of the Rafako Workers’ Union a few months ago.

In February, Business Insider informed that Rafako was on the verge of bankruptcy and may lose its financial liquidity in the near future. The president of the company, Radosław Domagalski-Łąbędzki, in an interview with “Wyborcza” admitted then that the coming days and weeks will be decisive for the company’s future. He stressed that the company is waiting for the court’s decision to approve an arrangement with creditors on the cancellation of some of the company’s liabilities to become final (in December last year, most creditors were in favor of such a solution, but state-owned companies such as Gaz System, Energa and Polimex voted against).

Trade unions: We rule out protests, that would scare investors away
Rafako’s CEO also assured that the company in Racibórz is also looking for an investor, such as a state-owned company or other industry investor. – We have already terminated unprofitable contracts, so investors have a clear picture of the company’s situation and do not have to be afraid of further negative news. I am convinced that the company is salvageable, we can win new contracts and implement them as the contracting authorities expect, announces the president.

After four months, however, none of the key issues for Rafako have yet been completed. – We still don’t know anything. Many people are fed up with the situation in the company, some are looking for a new job. I know a few people who have already made the decision to leave. We wrote letters regarding Rafako to MPs from various groups, but also to the President of the Republic of Poland, the Prime Minister and President Kaczyński. Almost each of them assured that they would make efforts to change the situation – says Marek Tylka.

Rafako: Talks with investors will soon gain momentum
Jacek Balcer, Rafako’s spokesman, confirms that the court’s decision to approve the arrangement with the company’s creditors has still not been final. – In our opinion, there is no substantial threat to the end of this case. However, complaints have been lodged that must be examined by the court. It all takes time.

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