THEY championed the cause of freedom in the Communist bloc and helped bring an end to the Cold War. But now Poland's shipyards, the birthplace of Lech Walesa's Solidarity movement, face the prospect of closure.
The European Commission is threatening to force the yards in Gdansk, Gdynia and Szczecin to pay back more than £800 million in state aid given to the ailing shipbuilders three years ago.
If they have to hand back the money, then the yards, incl
uding the famous Gdansk yard where a strike in August 1980 sparked a nationwide challenge to Communist rule, face bankruptcy and the loss of at least 15,000 jobs. The government also says that thousands more indirect jobs could disappear as a result.
Faced with the prospect of unemployment, thousands of shipyard workers downed tools last Friday in an effort to persuade the EC to back away from its threat. They also handed in a petition to the government and Poland's president, Lech Kaczynski, calling on them "to take strong measures to save Poland's shipbuilding industry".
The Industrial Union of Donbass, the Ukrainian owner of the Gdansk facility, the only one in private hands, has said it will walk away from the yard, if it has to hand over the money, describing the commission's proposal as "simply impossible".
Late last week, Warsaw submitted additional information to Brussels for its plans outlining the restructuring of the three yards, and the privatisation of the Gdynia and Szczecin facilities. If the commission, which is due to rule this week, accepts the plans, the yards could be saved as the state aid would then be in compliance with EU rules.
But so far, the omens have not been good. Neelie Kroes, the European competition commissioner, has expressed "serious doubts" that the Polish plan will comply with EU requirements regarding state aid.
Her doubts follow Brussels' long-standing exasperation over Poland's apparent failure to produce a clear blueprint for the yards' future, despite having had four years to do so, according to the EC.
Donald Tusk, Poland's prime minister and a former Solidarity activist who lives in Gdansk, has said he will appeal to the Council of Europe, if the commission demands repayment. The government has also pleaded for more time to secure investment.
The fate of the yards has sparked widespread debate in Poland. The irony that the shipyards, which played a crucial role in ushering capitalism into Poland, could be destroyed by a system they helped create has not been lost on most Poles.
"I spent 40 years in the shipyard. First the Communists wanted to destroy it, now this government wants to finish us off too," said Ryszard Paprzycki, 67, who is now retired.
Dariusz Adamski, head of the Gdynia branch of Solidarity, said: "We are going to fight to the end – we are not going to go quietly. This shipyard is all our life, it is our work, our future."
Some economists have played down the fears, pointing out shipyards in Germany and Spain had to go through similar restructuring but survived.
Others argue that bankruptcy could be a blessing in disguise as it would force the Polish government to reorganise the yards.
The full article contains 540 words and appears in The Scotsman newspaper.
