Primary Textile Factory Lays Off Employees, This Is Erick Thohir's Response

JAKARTA - Minister of State-Owned Enterprises (BUMN) Erick Thohir opened his voice about the news that PT Primissima (Persero) had cut off its employees.

The company is in arrears in paying salaries because it is suspected that it is experiencing a decline in performance.

For your information, Primissima is a state-owned company engaged in the textile sector.

Erick was reluctant to provide a detailed explanation. Even so, Erick ensured that he would continue to encourage the transformation of state-owned companies.

He also suggested that an in-depth study of Primissima's condition be asked directly to the President Director of PT Perusahaan Pengelola Assets (PPA).

The reason is, Primissima is currently a PPA patient because she is a SOE who is'sick' financially and business.

"There is a president director of PPA. I hope the media too, if it's detailed, then ask the president director and the commissioner," he said when met at his speech when met in the Kota Tua area, Jakarta, Wednesday, July 10.

Reporting from the company's official website, PT Primissima was founded as a joint venture between the Government of the Republic of Indonesia (RI) and the Association of Indonesian Batik Cooperatives (GKBI) in the context of implementing Law Number 9 of 1969 and Government Regulation Number 12 of 1969.

The participation of the Government of the Republic of Indonesia is in the form of spinning and weaving machines and equipment which are grants from the Dutch Government.

The grant came from Dutch textile entrepreneurs who were aimed at GKBI to preserve the production of high quality mori (Primissima cap Cent), while the participation from GKBI consisted of land, factory buildings, installation fees and working capital.