BATULICIN, South Kalimantan: Raw steel company PT Meratus Jaya Iron and Steel (MJIS) in Tanah Bumbu was forced to lay off hundreds of workers, Antaranews reported.
General Affair MJIS Amperawansyah through Production Planner in Batulicin Ridwan Lubis on Tuesday said the company was forced to make layoffs for most employees, one of which caused by the price of semi-finished or `spong` is still low in the market.
“The number of employees laid off around 115, from all 365 employees of PT MJIS,” he explained.
He explains, employees who were laid off were outsourcing workers. While regular employees are still employed, but are no longer in accordance with the educational background.
He gave example, for employees who previously worked as a machine operator is now transferred for maintenance or repair machines, some are assigned as janitor for the assets in the company remain treated despite cease of operating.
Vision and mission of PT. MJIS in Tanah Bumbu is to become steel producer in the forefront and international standards using raw materials as well as local resources to create competitive advantage in the global market.
According to him, the existence of PT. MJIS provide considerable benefits for the community and local government of Tanah Bumbu. One of which is MJIS able to absorb the local workforce by up to 60 percent of the total employees.
PT MJIS has a production capacity of raw material containing iron ore 33 tonnes per hour to produce spong which is then sent to the company on the island of Java, namely, PT Krakatau Steel.
In one month PT. MJIS sending 12,000 tons spong to PT Krakatau Steel to be made as steel.