Mitsumi fires more than 4,000 workers - TUCP

MANILA, Philippines - Japanese electronics maker Mitsumi had laid off more than 4,000 workers at its Bataan and Cebu plants, the Trade Union Congress of the Philippines (TUCP) said Tuesday. TUCP Secretary-General Ernesto F. Herrera said 2,400 workers at the Bataan plant and 2,000 more at the Cebu factory had been laid off by the computer maker. Mitsumi Philippines had also asked some of its workers to avail themselves of early retirement, he said. "Just days after the company retrenched 2,400 and 2,000 of its employees in Bataan and Cebu, management sent notices to workers informing them they may retire in advance," Mr. Herrera said in a telephone interview. The Japanese firm had gone from 19,000 workers to 8,000 since last year, he added. He said majority of those who had been laid off were irregular workers not fully covered by collective bargaining agreements. A Mitsumi official who did not wish to be named denied massive layoffs at the company. The official said Mitsumi had only cut working hours, adding that most of those who had lost their jobs were contractual employees. "Those workers that were laid off had finished their contracts," the official said. Mr. Herrera said there would be more job cuts in the electronics industry because a number of these companies are listed and must keep their share prices afloat. On Monday, the Labor department said about 18,000 workers had lost their jobs since Dec. 1. About 19,000 workers were also under reduced working hours, it pointed out. University of the Philippines Labor professor, Rene E. Ofreneo, said the government must have a special team that will visit companies instead of relying on reports alone. "Many companies don’t report their status so we are not entirely sure about all the numbers coming out," he said in an interview. "In fact, companies are also telling their workers to take a temporary leave and there is no assurance that they will be able to go back to work," he added. He also said companies would likely feel the full effects of the slowing global economy this quarter. Meanwhile, the Labor department said only 312 workers had been retrenched at the Laguna Technopark. It was reacting to a TUCP announcement that 35,000 workers in several electronic and automotive companies in the economic zone could be laid off. Labor Secretary Marianito D. Roque denied job cuts of such magnitude. Records from the Labor department’s regional office in Region IV-A showed 10,344 workers there had been laid off, and 343 came from electronics and automotive companies. The office said 312 workers came from the Laguna Technopark. — Emilia Narni J. David, BusinessWorld