The government, unions and the companies involved have apparently reached a complex compromise on the privatisation of Deutsche Bundespost Telekom but it requires the binding approval of all parties by next week, when the final reading of the privatisation bill is due in parliament, Reuter reports from Bonn: press reports say the three companies that […]
The government, unions and the companies involved have apparently reached a complex compromise on the privatisation of Deutsche Bundespost Telekom but it requires the binding approval of all parties by next week, when the final reading of the privatisation bill is due in parliament, Reuter reports from Bonn: press reports say the three companies that make up the Bundespost will pay pensions themselves for five years after privatisation, but after that the government would be required to help; an important change is that the government will not immediately make any money on the sale of Telekom shares instead, the phone company will issue new shares to raise up to $12,000m by the end of the decade, and the government will not subscribe and will later sell some of its shares to fund the pension obligations; a breakdown in the approval process now could delay the bill’s final parliamentary reading, with the risk that it could not be rescheduled before session ends on July 1.
