Performance under Balaklava Mine Collective Agreement in 2011


The staff conference of Balaklava Mine that took place on 8 June 2012 found the administration's and trade union committee's efforts to fulfill the Collective Agreement in 2011 satisfactory.

In 2011, UAH 56.1 million was spent on the measures stipulated by the Collective Agreement, which is 19.9% more than in 2010. The total payroll rose by 11.2% amounting to UAH 31.2 million. The costs on social safety net and benefits for the employees increased by 14.9% and made up UAH 3.4 million. The enterprise's health and safety expenses grew by 73.7% up to UAH 8.4 million.

The financial aid for the mine's employees and their family members demonstrated a dramatic 93.6% increment, totalling UAH 231,500, whereas welfare assistance for the retired pensioners ran up to UAH 176,900 having grown by 58,2%. The costs on free meals for the mine's pensioners without families increased by 19.8% and made up UAH 181,200. UAH 116,100 was allocated for personnel training and development, which is 33.8% higher than in 2010.

The conference resolved to make additions and amendments to the Collective Agreement 2011-2012. In particular, the decision was made to set up a Youth Council of Balaklava Mine.

'Stable operation and development of Balaklava Mine make up a guarantee of the material and social security for the enterprise's employees and retired pensioners, as well as their family members. The Collective Agreement adopted by Balaklava Mine reflects the partner interests of the mine's staff and administration and optimally meets the interests of all the parties involved in the negotiation process,' said Tatyana Kuznetsova, the Chairman of the Trade Union Committee of Balaklava Mine JSC commenting on the staff conference results.

In 2011, successful operation of the mine and growth of production output made it possible to increase the payroll twice. Apart from that, the enterprise increased the welfare payments for the mothers on child care leave, large families, war veterans, pensioners and disabled people. In December 2011, Balaklava Mine was awarded with a trophy and a certificate as the winner of the Best Employer nomination of the Victory 2011 competition that was organized with the support of Vladimir Yatsuba, the Chairman of Sevastopol City State Administration. The Sevastopol Social and Economic Council awarded the Collective Agreement 2011-2012 of Balaklava Mine as the winner of the Best Collective Agreement 2011 competition in the nomination Enterprises with 501-1,500 Employees.

'The administration and employees of Balaklava Mine are aware of their responsibility for the present and future of their enterprise, which enables them to work out the uniform and coordinated position of the mine's personnel, trade union committee and administration on the main production and social issues,' said Sergey Stepanenko, the HR Department Manager of Smart-Nerudprom.

Last year, Balaklava Mine started the work to prepare its area for the implementation of the Balaklava Green project aimed at prospective development of the enterprise and the entire region. As a result, 50 new jobs were created for the Sevastopol residents in 2011. The implementation of the Balaklava Green project is going to double the number of jobs as compared to the current situation.


Balaklava Mine (Joint-Stock Company) is one of the backbone enterprises of Sevastopol making a significant contribution into its social and economic development. The mine produces metallurgical limestone, crushed-stone and sand material, quarry stone.

The Balaklava Green project provides for the construction of the all-year-round national resort applying the green development principles and innovative engineering solutions. In January 2011, the project was included into Sevastopol Economic and Social Development Program. In March-April 2012, the public hearings took place in Sevastopol and Balaklava District on the Detailed Layout Plan of Balaklava including the Balaklava Green project.

Smart-Nerudprom Company is a leading supplier of high-quality limestone and granite macadam to the market of Ukraine. The company was founded in 2008 and operates in the field of non-metal and building materials’ production. In addition, it deals with marketing, investment, long-term business planning and improvement of production efficiency, as well as sales of products delivered by enterprises of non-metal industry:

- A.M. Gorkiy Balaklava Mine

- Yevpatoria Construction Materials Plant

- Saki Construction Materials Plant

- Zaporozhnerudprom Company