Thyssenkrupp rebuffs union claims regarding steel stake sale

FRANKFURT (Reuters) - Thyssenkrupp on Monday rejected allegations by labour representatives that it failed to adequately inform workers about its plans to sell a stake in its steel unit to Czech energy firm EPCG, adding to growing tension between the two sides.

The comments underline the fragile relationship between management and unions in Thyssenkrupp's long-running effort to divest its steel business, a part of the group where workers have been particularly influential.

Unions on Friday said they had only been informed of the plan a few hours before it was announced. Thyssenkrupp, meanwhile, said it had been clear for months that the group was in talks with EPCG, which is controlled by Czech billionaire Daniel Kretinsky.

Thyssenkrupp plans to sell 20% of Thyssenkrupp Steel Europe to EPCG.

Responding to claims that worker representatives and unions had been "passed over" in the talks, Thyssenkrupp said that at no point had this had been the case and that there were no plans to do so in the future.

Labour representatives command great clout at the German conglomerate and fill half the seats on its supervisory board. While they cannot block major strategic decisions, their buy-in as a key stakeholder group is seen as critical.

The company also said it had informed employee representatives, who have called for major protests at Thyssenkrupp Steel Europe's headquarters on April 30, last week that it was in advanced negotiations with EPCG about the stake sale.

"The element of surprise regarding actual results, which were achieved this last Friday, should therefore have been limited," the company said.

(Reporting by Christoph Steitz; editing by Friederike Heine and Jason Neely)