TEMPO.CO, Jakarta - National flag carrier Garuda Indonesia ensured that it would keep paying the salary of employees who do not participate in the early retirement program. The management denied previously circulated news which stated that the company would not provide salaries for employees who did not take the efficiency program due to liquidity problems.

“We need to convey that until the official decision of the company on the implementation of an accelerated retirement program for employees who have registered, all employees’ rights are still being fulfilled by the company based on applicable regulations, including the salary payments,” said Garuda management in a statement released on Wednesday, June 2, 2021.

The state-owned firm asserted that the accelerated early retirement program was not mandatory. This means the program is voluntary and without coercion.

Garuda has offered early retirement programs twice since the Covid-19 pandemic. The program was launched again after the company’s debt skyrocketed to Rp70 trillion.

President Director of Garuda Indonesia Irfan Setiaputra said the pandemic had made it difficult for the company due to the decline in the number of passengers. “The pandemic has deeply hit our industry,” Irfan told Tempo on Tuesday evening, June 1.

Read: Garuda Indonesia Early Retirement Offer; Pilots Federation Responds

FRANCISCA CHRISTY ROSANA