Companies from the transport and tourism sector will be able to use the guarantees in the COVID Plus program, the government unanimously approved. It is a government guarantee of loans up to 2 billion crowns for companies with more than 250 employees. The help can also be used by the airline Smartwings, which nevertheless announced on Monday afternoon that it would release 600 people.
At the government meeting, the program of assistance for transport companies was brought by Deputy Prime Minister Karel Havlíček. Havlíček received support for his proposal because it is general support, not just selective support for one company.
Minister of Finance Alena Schillerová did not agree with the help of only Smartwings airline.
Smartwings dismisses despite state guarantees, other carriers surprised by help
“It’s a simple thing that compares COVID Plus, that all other companies can also apply,” Havlíček said when he arrived at the government. It is a help to companies that have over 250 employees and can apply for guarantees of up to 2 billion crowns.
“All large companies, with the exception of transport companies, are entitled to it. We want the transport to have exactly the same conditions. If they ask for a guarantee of 300 million or 700 million and which bank to agree on, it is entirely up to them. The state will not get involved, “said the Deputy Prime Minister.
Smartwings will lay off 600 employees
The airline Smartwings, which previously said that it is seeking a government guarantee for a loan of 900 million crowns, is wasting time.
Smartwings is also the owner of CSA, and trade unionists have warned that the company is in danger of large-scale redundancies in airlines and that, according to them, CSA can lay off up to 60 percent of people. The company announced a significant reduction in wages in the spring. And Smartwings is fighting to survive. He announced on Monday afternoon that he would gradually release 600 people.
The redundancies will affect pilots, stewards as well as operational and administrative staff. The company will lay off in waves from July to February next year. So far, the company has 2,500 employees.
The state will not push how many people are to stay in Smartwings
“We, of course, knew that the company had problems,” he responded to the announced massive layoffs at Havlíček. According to him, the state will not put pressure on how many employees should stay in the company.
The Deputy Prime Minister, who has long sought to get the government of a company that has about half and half Czech and Chinese owners, succeeded only after explicitly supporting what the House Economic Committee said last week that support should go to all transport companies, not just one. .
“We follow the recommendations of the Economic Committee and the subcommittee, which in my opinion made the right decision, or recommended that we compare the environment so that transport companies have the same opportunities as other companies, especially when it comes to big guarantees. Unfortunately, the transport companies could not apply. This may have long ago resolved everything related to Smartwings, “said the Deputy Prime Minister.
“I am against selective support in general to support individual companies. If it were general, non-selective support, I would be ready to discuss it, “Schiller said before the government meeting, at which all the ministers present for the expansion of the Covid plus program raised their hands.