Hundreds Of Puma Employees Affected By Layoffs Confirmed To Get Severance Pay

Head of the Tangerang Regency Manpower Office (Disnaker) Rudi Hartono. ANTARA/Azmi

TANGERANG - The Tangerang Regency Government, Banten has confirmed that hundreds of workers/employees of PT Horn Ming Indonesia as the well-known producer of Puma shoes affected by the Termination of Work Relations (PHK) will receive the fulfillment of compensation rights according to the provisions.

"Yes, of course, the fulfillment of the rights (workers) must comply with the applicable law. We will continue to monitor that," Tangerang Regency Manpower Service (Disnaker) Head Rudi Hartono told reporters in Tangerang as reported by ANTARA, Wednesday, June 7.

According to him, the guarantee for the fulfillment of workers' rights has been discussed with the company by producing several points of agreement, such as fulfilling the payment of workers' rights after termination of employment and distribution of the benefits of employment social security.

"Yes, we have made a joint agreement between management and workers who have stated that they will fulfill their rights," he said.

Dalam pembahasan bersama antara pemerintah daerah, perusahaan dan para pekerja terkait alasan dilakukan gelombang PH Horn Ming Indonesia itu merupakan bagian dari langkah PT Horn Ming Indonesia untuk menjaga keberatan usaha serta mengatasi kerugian usaha akibat permasalahan beban biaya operasional yang besar dan tidak comparable dengan pencapaian penjualan usaha setiap tahunnya.

His party was forced to decide to carry out efficiency by cutting off work to 600 people out of a total of 2,400 existing employees.

"So the reason they (companies) are doing efficiency is still because the impact of product marketing in Europe is decreasing," he said.

He also explained that it was rare that the Puma shoe manufacturer company was known to have been carried out in accordance with the basic norms and rules that had previously been agreed upon by management.

"In the layoff application, there was previously an agreement between the company's management. And from the hundreds of employees affected, this May has been carried out," he said.

Previously, PT Horn Ming Indonesia as the well-known shoe manufacturer of Puma which is located in Cikupa, Tangerang Regency, Banten will terminate or terminate employment (PHK) for 600 workers at the company.

The plan to terminate the work has been officially submitted by the company through a notification letter numbered 023/HR/V/2023 dated May 8, 2023, to the local government through the Tangerang Regency Manpower Office (Disnaker).

The well-known brand shoe producer in the world is taking efficiency steps by cutting off work to 600 people out of a total of 2,400 existing employees.

The steps taken by the company by carrying out a wave of layoffs due to a slowdown in global economic growth.

Thus, in general, the company in the field of shoe products exports experienced a decline in production which affected the reduction in its workforce.

The occurrence of a wave of layoffs in this textile industry company is not the first time this has happened in Tangerang Regency. Which, in one year, many workers have been affected by the same impact.

One of them is like happening at PT Tuntex Garment, a producer of Puma sports clothing which closed in April 2023 due to production dismissal with an impact on more than 1,200 employees who were laid off.