Unilever Lays 65 Employees, Management: The Information Is Untrue And Misleading

Illustration. (Photo: Doc. Antara)

JAKARTA - There is an uproar on social media about PT Unilever Indonesia Tbk (UNVR) again carrying out termination of employment (PHK) for 65 employees. However, the company's management firmly denied the news.

"Regarding the news that the company has again laid off 65 employees, we convey that the information is untrue and misleading," said Unilever Indonesia Director and Corporate Secretary Reski Damayanti in an official statement, Tuesday, May 17.

Previously, Reski explained, Unilever Indonesia made adjustments to certain units whose operational period had ended. There are 161 employees affected by this adjustment and he made sure there were no additions.

Furthermore, Reski said, the majority of affected employees, totaling 96 people, had signed an agreement to receive the prepared severance package, while 65 other employees decided not to accept it.

"For employees who have not received it, as a law-abiding company, we process it based on the provisions of the applicable laws and regulations, which is currently at the mediation stage at the Surabaya City Manpower Office," he explained.

He continued that this process had gone through a series of open communications to affected employees, such as bipartite meetings and employee Townhalls.

In addition, Reski continued, the company also offers severance pay that exceeds the standard of obligations stipulated by law, including providing various other support programs such as incentives, training, and a series of benefit packages to support affected employees to remain productive after completing their tenure with Unilever Indonesia.

Affected employees who have signed a registered agreement have started receiving the prepared packages and programs. Various debriefing trainings have also been implemented and will last for 1 to 2 months. Reski admits that this step is not an easy decision for the company.

However, he said Unilever Indonesia needed to continuously transform the entire business operation chain in order to survive in the midst of a changing and challenging situation and to remain relevant in the future (future-fit).

"This step can certainly have an impact on adjusting aspects of human resources in certain units in the company," he said.

Reski said the transformation carried out had gone through various careful and strategic considerations, and was carried out in accordance with applicable laws and regulations in Indonesia. In the process of consideration, he said the company is trying to evaluate various other alternatives before deciding on steps that have an impact on workers.

"This is because no matter how difficult the challenges and business conditions we face, the impact in terms of human resources is always the last resort for the company," he concluded.