Erick Thohir Shuts Down Tauberes, Garuda Boss Ensures No Layoffs

Minister of BUMN, Erick Thohir. (Photo: Instagram @erickthohir)

JAKARTA - State-owned transportation company PT Garuda Indonesia (Persero) Tbk will close down one of its grandchildren, PT Garuda Tauberes Indonesia. This is in line with the direction from the Ministry of BUMN, led by Erick Thohir, in order to reorganize and streamline BUMN companies for efficiency and business focus.

President Director of Garuda Indonesia Irfaniaputra said that his party fully supports the efforts of the Ministry of BUMN in mapping the children and grandchildren of BUMN companies, including Garuda Indonesia.

The closure of this business will have an impact on the fate of the employees who work at the company. However, Irfan emphasized that his party did not guarantee that no one would be harmed by this decision, especially employees.

"This principle of GCG (good corporate governance) continues to be carried out, said the minister. We make sure it runs with a separate entity and no one is harmed," he said, during a video conference with journalists, in Jakarta, Friday, April 3.

Irfan said there was no rationalization of human resources (HR) or layoffs (PHK) for all employees at PT Garuda Tauberes Indonesia.

"There is no rationalization of human resources, we allocate (Tauberes employees) to the merged companies. We are still doing the process, hopefully it can be completed soon," he said.

On the other hand, Irfan admitted that he was ready to support the Ministry of BUMN in managing their children and grandchildren. Currently, he said, an in-depth study is being carried out. Because, his party wants to focus on mapping and evaluating what has been happening to business children and grandchildren.

"We will continue to do what is necessary, any options," he explained.

For your information, PT Garuda Tauberes Indonesia is a subsidiary of Garuda Indonesia which was released on September 11, 2019. Garuda Tauberes is a digital logistics application that is claimed to be the first in Indonesia to connect air cargo services with goods delivery agents to the public (end customers).

The Tauberes application is an e-commerce platform that provides logistics ordering services, both for couriers, air cargo gateways and payments developed by PT Garuda Tauberes Indonesia (GTI). In this application there are three main features, namely sending packages, air cargo, and online shopping.