Coal Prices Drop, Companies Sack Employees
15 May 2015 16:00 WIB
TEMPO.CO, Jakarta - The dropping price of coal has forced coal mining companies to trim down the number of their employees. "This week, there are 514 employees being laid off, mostly in the minin sector," said Hardy Rampay, Head of the Central Kalimantan Manpower and Transmigration Agency on Thursday, May 14, 2015.
Hardy asserted that the layoffs were carried out by mining companies to mitigate their losses following the recent drop in coal prices. The companies claimed that they have suffered severe financial losses and have to make adjustments.
Hardy said that his agency has made some efforts to prevent employees from being laid off. However, if it is really necessary, Hardy added that companies may lay off their employees after making several agreements.
One of such agreements were the companies will have to prioritize to hire the previously laid off employees if coal prices are improving.
KARANA WW