The management of Polish Mining Group (PGG) has announced a wide-ranging restructuring plan for 2026. The company intends to reduce its workforce by approximately 5,000 people and begin the process of liquidating two operations: the Wujek and Bielszowice mines. These decisions are driven by a drastic drop in demand for hard coal and the need to limit losses, which this year could reach 5 billion zloty. Employees will be able to take advantage of high severance packages and social support programs.
Closure of two mines
The process of closing the Wujek operation will begin on April 1, while the Bielszowice operation will start on July 1 this year.
Reduction of 5,000 jobs
Employment at Polish Mining Group is to fall by 5,000 people, mainly through voluntary departures and social protections.
High monetary severance packages
Employees leaving the mines can count on one-time payments reaching up to 170,000 zloty net.
Forecasted billion-zloty loss
PGG expects an operating loss this year at the level of 5 billion zloty due to falling coal prices.
The management of Polish Mining Group has presented an operational strategy for 2026, which involves a deep restructuring of production assets. The most important element of the plan is the start of the liquidation process for two units: the Wujek operation (part of KWK Staszic-Wujek) and the Bielszowice operation (part of KWK Ruda). The first mine is scheduled to begin the winding-down process on April 1, 2026, while the second will follow three months later on July 1. These decisions are the result of a sustained decline in demand for thermal coal, whose extraction in Poland has almost halved over the last decade to an annual level of 31 million tons. The company forecasts that, at current raw material prices, its net loss in 2026 could reach up to 5 billion zloty. The reduction of 5,000 jobs is to be carried out gradually, based on voluntary departures and protective instruments provided for in the Mining Act. The President of PGG emphasizes that the company does not plan forced collective layoffs. Estimates indicate that about 3,600 employees qualify for mining leave or severance packages. In December last year, 1,200 people had already declared their willingness to leave, tempted by the possibility of receiving a one-time severance payment of up to 170,000 zloty net. Polish Mining Group was established in 2016 based on the assets of the bankrupt Kompania Węglowa. Since its inception, it has been grappling with challenges related to EU climate policy and the need to move away from fossil fuels. The transformation of the mining giant, which currently employs about 35,000 workers, is crucial for the stability of the Silesian region. The company cooperates with 3,500 suppliers, meaning that changes at PGG will affect the entire economic environment. Government support programs are intended to mitigate the social effects of these decisions, and financing the company's losses will require launching further targeted subsidies from the state budget. This process is closely monitored by trade unions, which demand adherence to the previously negotiated social agreement for the mining sector. „We want to ensure that this reduction in employment, which must occur due to lower demand for coal, is carried out in a very good, socially responsible manner.” — PGG Management Representative Planned workforce reduction at PGG: Remaining employees: 30000, Employees leaving: 5000, Including those eligible for support: 3600 170 thousand PLN — is the maximum one-time severance payment for a miner Mine closure schedule: April 1, 2026 — Start of liquidation of the Wujek operation; June 30, 2026 — Planned end of extraction at Bielszowice; July 1, 2026 — Formal liquidation of the Bielszowice operation