Unilateral Layoff Of 701 Employees, SICepat Management Was Summoned By The Ministry Of Manpower

Director General of Industrial Relations and Social Security (PHI and Social Security) Ministry of Manpower Indah Anggoro Putri/Photo: Antara

JAKARTA - The Ministry of Manpower (Kemnaker) has summoned the management of PT SiCepat Ekspres Indonesia (SiCepat) as a follow-up to the issue of termination of employment (PHK) for 701 of its workers, which after clarification turned out to be related to the results of the performance evaluation.

"From this meeting, information was obtained that the problem was related to the results of the evaluation of the performance of the workers, which were deemed not to meet the performance standards set by the company," said the Director-General of Industrial Relations and Social Security (PHI and Social Security) Kemnaker Indah Anggoro Putri in a statement, received in Jakarta, Thursday 17 March.

Through the meeting, PT SiCepat Ekspres Indonesia stated its commitment to re-employ 500 workers. Meanwhile, there are 27 people who have agreed and have signed a collective agreement and 174 people are still in the negotiation process.

The Director-General of PHI and Social Security ensured that the Ministry of Manpower would continue to encourage each party to promote social dialogue in finding a common solution for any disputes.

"The Ministry of Manpower encourages companies to avoid layoffs as much as possible, and seek to immediately resolve these problems in accordance with applicable laws and regulations, by prioritizing social dialogue and involving trade unions/labor unions," she said.

She also said that her party would continue to oversee the process of resolving industrial relations disputes at PT SiCepat Ekspres Indonesia.

Another meeting between the Ministry of Manpower and the management of PT SiCepat Ekspres Indonesia has been scheduled to monitor the progress of problem solving and provide further guidance.

Previously, the mass media were busy reporting on the mass layoffs that occurred at PT SiCepat Ekspres Indonesia. In a press conference on Wednesday (16/3), the management admitted that there was a procedural error in the layoff procedure.