MINISTER of Investment/Head of BKPM Bahlil Lahadalia admitted that there were mass layoffs in the textile industry. This was triggered by the relocation of businesses from West Java to other areas and the closure of several companies.
“It is true that layoffs have occurred in several places in West Java. There are two of them, one is the relocation of factories from West Java to other areas, and there are also factories that have been closed,” he said in a press conference, Monday (29/7).
Bahlil said the two were the main causes that made the textile industry depressed. Relocation and closure of businesses related to old machines and high economic costs compared to other countries.
“There are two problems, the machines are old, secondly the economic costs are high compared to other countries. This is related to our work productivity. We have to find a middle ground,” he added.
In addition, he continued, workers’ rights must also be fulfilled properly. Then he asked workers to pay attention to the sustainability of the company, because if the factory closes, the loss will be felt by all parties. “Workers’ rights must be considered. Workers must also pay attention to the sustainability of the company. If it closes, everyone will lose,” he added.
The closure of jobs and the cessation of production activities also have an impact on reduced state revenues. However, amid the closure of a number of factories, there are still new factories that are opening. (Van/Z-7)
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