Haradinaj: Salaries will be reduced if this saves Telekom from bankruptcy

However, this aside from being rejected by the Workers' Union is not being seen as the right way to save this company from bankruptcy, even from respective field experts.

Weeks earlier, members of the Board of Telekom had announced the government cabinet that Kosovo Telecom's accumulated debt has reached 60m euros.

They had said the company has large numbers of workers and large rent expenses. Also, Telekom must close a debt to Z-mobile of over 26m euros, as well as have about 11m euros in debts to suppliers. A similar situation has reportedly placed Telekom in the continuation of financial losses, where for only three months the company has lost fourm euros.

Kosovo Prime Minister Ramush Hardinaj says they are open to all proposals on how to deal with the crisis in which Kosovo Telekom is located and that the company must be saved from bankruptcy.

The government is not willing to lower wages or even deal with crises. The crisis in Telekom is taking us a valuable time, but we need to save this company and not accept bankruptcy because it would be the worst news for the workers. All actions needed to save this company should be undertaken as reducing any excessive spending, reducing expenditures that have no real business basis and also lowering salaries”, Haradinaj said.

If 10 percent of workers' salary reduction and 20 percent of high management is needed, the company will survive. If in the business plan the company offers later profits then it can increase wages, but in this case the company must be saved”, Prime Minister Haradinaj stressed.

Salad reduction for workers is being rejected by the Kosovo Post Telecom Union.

The chairman of this union, Lahim Balaj, told Radio Free Europe that it would not have to violate the well-being of the workers, reportedly exiting the Kosovo Telekom crisis.

He said that by lowering the salaries of about 2,300 workers as much as Kosovo Telecom, it cannot be saved from the financial crisis in which the company is going through.

“It is not the fault of the workers who have come to this state of Kosovo Telekom. Here are many factors that have had to be taken, such as mismanagement and harmful contracts made before dealing with workers. Now no one is dealing with what led to the Telekom crisis, but is trying to deal with workers and those stolen vehicles to cover up with workers' tools. For us it is unacceptable”, Balaj said.

On the other hand, economic experts say Kosovo Telecom is bankrupt as a result of mismanagement.

Economics Professor Muhamet Sadiku told Radio Free Europe that there are many problems leading to the company within the years. According to him, all these mismanaged processes must be revised and Kosovo Telecom must be restored.

This is a situation that no one has expected. We have all considered the Post as an important pillar of Kosovo's economy. Now Posta must have a programme of its restructuring, must have the Board of Professionals, not politicians. The mail must empower its management, which needs to understand competition in the market of these services and in a period of two or three years to recover”, Sadiku says.

Otherwise, weeks ago the Government of Kosovo has won the legal battle at the Arbitrazhi Court against the company ıAxos-Capitalı, which demanded compensation of hundreds of millions of euros for canceling the privatisation of 75 per cent stake in Kosovo's Post and Telecom.

The company "Axos é Capital '%s' had filed indictments at the address of the Government of Kosovo for reasons, reportedly failing to implement the Kosovo Post-Telekom privatisation contract.

In 2013, the Government of Kosovo had announced the winner in the purchase of a 75 per cent stake in PTK company "Axos ʹ Capital" worth 277m euros.

The Arbitrazhi Court's decision was stressed that it would facilitate Telekom's future. Meanwhile, the goal of the Government of Kosovo is for the privatisation process of Telekom to begin after two years.