Abrupt company closure means about 1,000 workers lose their jobs

[webfact]

Abrupt company closure means about 1,000 workers lose their jobs

 

 

Almost 1,000 employees of an automotive parts manufacturing company in Samut Sakhon province were laid off when they arrived for work this morning (Monday) and the factory was closed.

 

Workers at Pongpara Codan Rubber Company told the media that they had received no advance warning of the company’s closure or any advance notice of employment termination.

 

The announcement of the sudden closure was posted on the company’s front gate, with an instruction for all employees to pick up their final pay packets by Thursday. For those who do not show up by then, the company will wire the money to their bank accounts.

 

Full story: https://www.thaipbsworld.com/abrupt-company-closure-means-about-1000-workers-lose-their-jobs/

 

-- © Copyright Thai PBS 2019-12-24

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[daveAustin]

This sucks. But sign of the times I'm afraid. Ordinary Thais are going to seriously feel the pinch.  

[Thechook]

High baht effecting exports

[Ron jeremy]

Sad sad, it's just the beginning. 

[Creasy]

Only the ordinary Thai will suffer during a economic downturn.

 

The 1% are filthy rich and their servants in parliament aren’t short of a baht either.

[tgw]

12 minutes ago, Creasy said:

Only the ordinary Thai will suffer during a economic downturn.

 

The 1% are filthy rich and their servants in parliament aren’t short of a baht either.

nonsense.

many businessmen risk losing their business,  possibly everything they own.

[Creasy]

10 minutes ago, tgw said:

nonsense.

many businessmen risk losing their business,  possibly everything they own.

Do you think the auto parts boss that just sacked 1000 will lose his business ?

[from the home of CC]

the majority of cars are bought on long term credit, I certainly hope policy isn't changed at the bank that entices more debt to be taken in light of industry closure..

[Don Mega]

Was it just the rubber company or the group ?

 

[ezzra]

Thailand is a part of the world's free economy where business of all kind and size open and shut on a daily basis and the closure of the above is no different, when a business become non viable it shut down and often merges with others or reopen under a different managements and name, we hear about this one because of it's manpower size and the number of people that will stand down, otherwise it's business as usual...

[scubascuba3]

1 hour ago, Ron jeremy said:

Sad sad, it's just the beginning. 

i thought 2000 factories had closed this year.

 

The high exchange rate is killing Thailand

Edited December 23, 2019 by scubascuba3

[nev]

44 minutes ago, scubascuba3 said:

i thought 2000 factories had closed this year.

 

The high exchange rate is killing Thailand

I didn't know it was that many,  My has been mentioning about factory  closures and a lot from our village  have been affected. 

 

[bkkgriz]

2 hours ago, Creasy said:

Do you think the auto parts boss that just sacked 1000 will lose his business ?

The business is closed. Do you think the owner is going to do the work of 1000 people? He has just lost his business.

[Jessi]

I read in the B.P. the other day that Mazda car company have closed one of their factory's in Thailand and moving it back to Japan. Reason given was production cost were too high now with the exchange rate.

[luis888]

3 hours ago, Creasy said:

Do you think the auto parts boss that just sacked 1000 will lose his business ?

If he's closed the business then the business is gone yes.

He can  sell the machinery but not the business as such.

He's probably carried the business as long as possible. 

We don't know the circumstance, but you shouldn't expect the owners to carry the business until they're also penniless. Maybe they're already in debt to their eyeballs. Maybe they are already worse off than some of their staff.

It's always easy to criticize. 

I've been a business owner in the past,  I know what it's like to struggle at times, just saying, don't judge.

[worgeordie]

4 hours ago, tgw said:

nonsense.

many businessmen risk losing their business,  possibly everything they own.

Or just move it all to where there are cheaper wages,less labour laws.

regards Worgeordie

[RichardColeman]

Sure the high Turkeys eating their turkeys tomorrow wont give a fig about them

[Topdoc]

3 hours ago, ezzra said:

otherwise it's business as usual...

No, it's not business as usual. It's economic atrophy that not one man in a million is able to see or understand.

 

"There is no subtler, no surer means of overturning the existing basis of society than to debauch the currency (by cutting interest rates to +/-0%*). The process engages all the hidden forces of economic law on the side of destruction, and does it in a manner which not one man in a million is able to diagnose (mainly because the process also pushes up asset prices...... for a while*)." John Maynard Keynes

 

* text added for clarification

 

It's quite simple really, if you cut interest rates to +/-0%, all 'return on capital' will follow........ with a lag.

[hotchilli]

5 hours ago, webfact said:

Almost 1,000 employees of an automotive parts manufacturing company in Samut Sakhon province were laid off when they arrived for work this morning (Monday) and the factory was closed.

Very sad news, I feel sorry for them as it came without warning, a notice on the gate how nice!

Pick-up your last pay packet & Happy New Year.

I'm sure there are going to be some worried people who are wondering what will happen to their family life.

1000 people in the same locality all looking for employment isn't going to be easy!

[holy cow cm]

It's OK - No Problem. Doesn't effect the Elite, Big P, Small P, Somkid or any other of their cronies and the military added. 

[Isaan sailor]

More important to have ChiCom Belt & Road bullet trains, and ChiCom submarines--than a viable, healthy Thai economy.  The choice has been made, and the hot money will keep flowing...

[sathornlover]

1 hour ago, Jessi said:

I read in the B.P. the other day that Mazda car company have closed one of their factory's in Thailand and moving it back to Japan. Reason given was production cost were too high now with the exchange rate.

"Mazda will relocate the production of CX-3 sport utility vehicles meant for the Australia market to a factory in the western Japanese city of Hofu, in Yamaguchi Prefecture as early as December. "

 

[hansnl]

5 hours ago, Creasy said:

Only the ordinary Thai will suffer during a economic downturn.

 

The 1% are filthy rich and their servants in parliament aren’t short of a baht either.

You think it is any different in your own country?

Don't think so.

 

[dcsw53]

1 hour ago, luis888 said:

If he's closed the business then the business is gone yes.

He can  sell the machinery but not the business as such.

He's probably carried the business as long as possible. 

We don't know the circumstance, but you shouldn't expect the owners to carry the business until they're also penniless. Maybe they're already in debt to their eyeballs. Maybe they are already worse off than some of their staff.

It's always easy to criticize. 

I've been a business owner in the past,  I know what it's like to struggle at times, just saying, don't judge.

It's not a "he" it's a "they"
The Japanese group have closed one unit of their empire, for what reason might come out in the fullness of time.
When the families are included, 000's of people will suffer, but the share price and corporate profits will probably go up. i will bet my pension the GM has a golden parachute into his next job, so no harm done.
Merry Chrsitmas !

[Enoon]

44 minutes ago, hansnl said:

You think it is any different in your own country?

Don't think so.

 

 

The nature of wealth distribution, quality (quantity?) of life and access to "aid", in times of difficulty, in my country, for the "ordinary" person is far, far removed from that of the "ordinary" Thai.

 

Probably even more so in your country.

 

Unfortunately most, in my country, are blind to that (as you seem to be) and tend to complain about how "difficult" it is.

 

This saying encapsulates their attitude:

 "They don't know they are born"

Don't know they are born - Idioms by The Free Dictionary

 

There are similarities however.

 

You can be sure that right now, in the Festival of Overconsumption, "back home", they will be throwing money around (much of it borrowed) with the abandon that Thais throw water around, at Songkhran, in the midst of drought.

 

But still not enough junk will change hands, and not enough food will slide down gullets, to satisfy their craving for ....... even more.

 

 

 

Edited December 24, 2019 by Enoon

[thaipod]

A lot of workers are now losing jobs due to robotics also

[tgw]

5 hours ago, Creasy said:

Do you think the auto parts boss that just sacked 1000 will lose his business ?

whatever the answer to this is, it doesn't make your statement "only the ordinary Thais will suffer from an economic downturn" true.

[tgw]

1 hour ago, worgeordie said:

Or just move it all to where there are cheaper wages,less labour laws.

regards Worgeordie

only big industrial business can do this.

[trainman34014]

6 hours ago, Creasy said:

Do you think the auto parts boss that just sacked 1000 will lose his business ?

Possible they will lose their business but they won't lose their stash as it will most likely already be out of the country nestling in some Off-Shore bank account or two.  They will have known for a while that the end is nigh and will have prepared for it whilst keeping the workforce in the dark until the last minute.   In Thailand 'workers' only matter when they need them !

[tgw]

1 minute ago, trainman34014 said:

Possible they will lose their business but they won't lose their stash as it will most likely already be out of the country nestling in some Off-Shore bank account or two.  They will have known for a while that the end is nigh and will have prepared for it whilst keeping the workforce in the dark until the last minute.   In Thailand 'workers' only matter when they need them !

how little you know...

of course financial problems are kept a secret, because if publicly known, this would greatly worsen the company's credit rating, thus precipitating its demise because suppliers would insist on cash payment and banks would refuse to provide for short term credit lines to keep the company going.