A third of jobs will disappear: the people’s deputy voiced the threat of bill No. 1210

If bill No. 1210, which implies an increase in fiscal pressure on business, is adopted in its current form, almost all GOKs will be uncompetitive, many will be forced to curtail production, and 70% of exports will be lost.

This opinion was expressed by MP MP Musa Magomedov in article 112.ua «Tobacco workers, GOKs and even Rozetka: The largest companies in Ukraine may be closed due to tax initiatives of the green government.»

«According to the calculations that were made if No. 1210 was adopted in its original version, we can talk about closing every third workplace in the mining and metallurgical complex,» Magomedov said.

As reported, due to higher rents, a third of domestic production is projected to close. In addition, Ukraine will lose 70% of its ore exports and, as a result, about 30% of all foreign exchange earnings. In this case, the railway industry may lose 40% of the freight traffic. The increase in the cost of iron ore production in Ukraine will lead to an increase in labor migration, experts emphasize. According to a study by one of the representatives of the four world auditors — PWC, tax initiatives laid down in bills No. 1210 and No. 1210-1 will make ore mining in Ukraine 9 times more expensive than in Russia.

It is worth noting that at the same time, as you know, No. 1210 leaves unchanged the annuity rate for manganese ore, which is mined by GOKs by businessman Igor Kolomoisky, who has a huge influence on Zelensky’s team.

Earlier in a letter to President Vladimir Zelensky, the head of the Federation of Metallurgists of Ukraine Sergey Belenky and the head of the Central Committee of the Trade Union of Metallurgists and Miners Sergey Komyshev warned that the adoption of bill 1210 would lead to the mass exodus of specialists abroad. “At first it will be a blow to Krivoy Rog — young people will begin to look for new cities and countries for life, professionals will also go abroad, and we will only have old people who will quietly live their lives. And then it will hit Ukraine as well,” the authors cautioned letters. It is also noted that in the event of a GOK stopping, people working in small businesses, including sellers of shops, gas station workers, beauty salon masters and many others, will remain without work, since the miners will not have money.

Musa Magomedov said that bill No. 1210 could be considered in the session hall from October 29.

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