JAKARTA - The United Garuda Bersatu (Sekber) has asked President Joko Widodo to save PT Garuda Indonesia Tbk from the brink of bankruptcy. According to their records, there have been around 2,000 employees who have been laid off in 2020.
This Sekber consists of the Garuda Employees Union (Sekarga), the Garuda Pilots Association (APG) and the Garuda Indonesia Cabin Crew Association (IKAGI).
Based on a letter dated July 12, 2021, the Garuda Indonesia employee union said that the current condition of flag carrier Garuda Indonesia is on the verge of bankruptcy due to the impact of the COVID-19 pandemic, where this condition greatly affects operational activities.
"Given the status of PT Garuda Indonesia (Persero) Tbk, which is a flag carrier whose share ownership is 60.54 percent owned by the state, we ask for support from Mr. President Joko Widodo to help save the continuity of the flag carrier Garuda Indonesia," said the letter, quoted on Thursday. July 14th.
The employee union revealed that internally Garuda Indonesia had terminated employment (PHK), from a total of 7,900 employees in 2019, 2,000 employees were reduced in 2020 and currently in 2021 it is in the process of layoffs which are planned to reduce more than 1,000 employees.
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In addition to layoffs, employees who are still actively working are subject to deductions and delays in paying their salaries, all of which are a form of sacrifice as employees of Garuda Indonesia.
In addition to the impact of COVID-19, there is also the impact of past burdens related to the procurement of aircraft and engines carried out by directors in the past and also the impact of not being managed optimally for several potential business lines.
A number of lines that are not optimal include, captive market corporate accounts or all official trips for state and non-state budget user agencies, cargo business lines and charter business lines. This letter was signed by the General Chairperson of Sekarga Dwi Yulianta, the President of APG Muzaeni, and the General Chairperson of IKAGI Achmad Haeruman.
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