Thai car plant causes controversy with large-scale layoffs of subcontractors

[webfact]

 

A major Thai car manufacturer in Laem Chabang Industrial Estate, Sri Racha, Chon Buri, has abruptly laid off all its subcontracted employees, causing significant distress among workers and triggering an outpouring of support online. 

 

The shock announcement came to light through a Facebook post in the A1 Job Hunting Eastern Hemaraj Pluak Daeng Bowin Amata City V.2 group, which read: “June 22 will be the last working day at Motors in Laem Chabang Industrial Estate.

 

The company has announced the immediate dismissal of all subcontracted employees. Let’s show support for all affected workers. Stay strong, everyone.”

 

This news swiftly gained traction, amassing numerous comments and reactions from netizens expressing their sympathy and support for the affected individuals.

 

One commenter noted, “I’ve heard it’s not just Laem Chabang; they’re laying off in Siam as well. They just hired new people after New Year, and now they’re letting them go.”

 

The sudden layoffs have sparked considerable concern, particularly as the company had seemed to be bolstering its workforce not long ago, following recent hires after the new year.

 

This abrupt decision has led many to question the timing and motivations behind the move, speculating it could be linked to wider economic issues or shifts within the global automotive industry.

 

In response to the viral post, many have rallied to offer words of encouragement. Comments such as “Stay strong, everyone. Better opportunities will come your way” and “It’s a tough time, but don’t lose hope. We’re all rooting for you” have been common.

 

As of now, the company has yet to release an official statement or provide any reasoning for the mass layoffs, leaving the public and affected workers anxiously awaiting more information.

 

Picture courtesy: Auto World Journal

 

-- 2024-06-22

 

Get our Daily Newsletter - Click HERE to subscribe

[Georgealbert]

Believe this is the facebook post referred to in the story.

[tubber]

Subaru, Suzuki and now Mitsubishi in quick succession. Not looking good for the Thai auto industry. Feel sorry for all the people being made redundant.

[Srikcir]

2 hours ago, webfact said:

This abrupt decision has led many to question the timing and motivations behind the move, speculating it could be linked to wider economic issues or shifts within the global automotive industry.

PM Thavisin must immediately remind terminated employees not to worry - he is increasing Chinese, Russian and India tourism in Thailand to help the economy. Maybe some of the new unemployed can become tourist guides, albeit can't speak any foreign languages. (sarcasm)

 

[hotchilli]

2 hours ago, webfact said:

In response to the viral post, many have rallied to offer words of encouragement. Comments such as “Stay strong, everyone. Better opportunities will come your way” and “It’s a tough time, but don’t lose hope. We’re all rooting for you” have been common

All very nice but words don't put food on the table or kids through school.

Time this government got it's act together and started doing something for the people.

 

[tubber]

9 minutes ago, hotchilli said:

All very nice but words don't put food on the table or kids through school.

Time this government got it's act together and started doing something for the people.

 

They have done something for the people. The 10,000B vote buying giveaway to bankrupt the country.

[hotchilli]

3 minutes ago, tubber said:

They have done something for the people. The 10,000B vote buying giveaway to bankrupt the country.

Still pending

[steve187]

byd are hiring 5,000 in Rayong

[soalbundy]

1 hour ago, hotchilli said:

All very nice but words don't put food on the table or kids through school.

Time this government got it's act together and started doing something for the people.

 

While I agree that platitudes don't help what do you expect the government to do? There is still a worldwide industrial slowdown, every country is affected, it's the normal capitalist cycle of boom and bust where even such production giants as China are affected. The situation is made worse by the many geopolitical flash points around the world as well as global warming, in fact it's the first time that looming recessions have occurred in such a coordinated manner throughout the whole world, normally there would be one unaffected block that could help the rest to recover but not this time. The world has had an unprecedented long boom time so I anticipate a long down time, things will recover eventually, they always do, but when, 2, 3, 5 years?

[jacko45k]

1 hour ago, tubber said:

They have done something for the people. The 10,000B vote buying giveaway to bankrupt the country.

How many people have received this 10,000 baht now.....wasn't it proposed in October last year?

[KhunLA]

36 minutes ago, soalbundy said:

While I agree that platitudes don't help what do you expect the government to do? There is still a worldwide industrial slowdown, every country is affected, it's the normal capitalist cycle of boom and bust where even such production giants as China are affected. The situation is made worse by the many geopolitical flash points around the world as well as global warming, in fact it's the first time that looming recessions have occurred in such a coordinated manner throughout the whole world, normally there would be one unaffected block that could help the rest to recover but not this time. The world has had an unprecedented long boom time so I anticipate a long down time, things will recover eventually, they always do, but when, 2, 3, 5 years?

Agree, and they/govt can't bail everyone out that makes bad business decisions.  Sooner or later, they/govt, runs out of other people's (ours) money.

Edited June 22 by KhunLA

[Thingamabob]

31 minutes ago, soalbundy said:

While I agree that platitudes don't help what do you expect the government to do? There is still a worldwide industrial slowdown, every country is affected, it's the normal capitalist cycle of boom and bust where even such production giants as China are affected. The situation is made worse by the many geopolitical flash points around the world as well as global warming, in fact it's the first time that looming recessions have occurred in such a coordinated manner throughout the whole world, normally there would be one unaffected block that could help the rest to recover but not this time. The world has had an unprecedented long boom time so I anticipate a long down time, things will recover eventually, they always do, but when, 2, 3, 5 years?

Nevertheless, the current Thai government has a lot to answer for,  with more troubles looming because of its' incompetence and misleading pronouncements. 

[tubber]

27 minutes ago, jacko45k said:

How many people have received this 10,000 baht now.....wasn't it proposed in October last year?

Absolutely none, it was meant with a touch of sarcasm.

[Ben Zioner]

2 hours ago, tubber said:

Subaru, Suzuki and now Mitsubishi in quick succession. Not looking good for the Thai auto industry. Feel sorry for all the people being made redundant.

It could be that the Asian motorist doesn't a big smoky V8 as a sexual attribute and EVs are believed to be on a winning run.

[Tropicalevo]

Thank you China. (Not)

Edited June 22 by Tropicalevo

[Tropicalevo]

49 minutes ago, soalbundy said:

While I agree that platitudes don't help what do you expect the government to do? There is still a worldwide industrial slowdown, every country is affected, it's the normal capitalist cycle of boom and bust where even such production giants as China are affected. The situation is made worse by the many geopolitical flash points around the world as well as global warming, in fact it's the first time that looming recessions have occurred in such a coordinated manner throughout the whole world, normally there would be one unaffected block that could help the rest to recover but not this time. The world has had an unprecedented long boom time so I anticipate a long down time, things will recover eventually, they always do, but when, 2, 3, 5 years?

Whilst your comment is most likely true, the fact of the matter here in Thailand is that the government have been pushing cheap Chinese EV's for some time.

There are a finite number of folk that can afford cars and when the government and rich folk (mostly ethnic Chinese) push EV's, gas and diesel sales will suffer.

The government has unwittingly had a hand in this.

[0ffshore360]

Thai subsidiaries of Japanese Companies are probably powerless to object?

The global auto market has been rupturing since the pandemic .

 

 

 

[Celsius]

1 hour ago, steve187 said:

byd are hiring 5,000 in Rayong

 

How? They did not build the factory yet.

[G Rex]

32 minutes ago, Ben Zioner said:

It could be that the Asian motorist doesn't a big smoky V8 as a sexual attribute and EVs are believed to be on a winning run.

Not sure what you are talking about here?

Subaru, Suzuki & Mitsubishi do not produce any 'big smoky V8'....

[BritManToo]

3 minutes ago, G Rex said:

Not sure what you are talking about here?

Subaru, Suzuki & Mitsubishi do not produce any 'big smoky V8'....

Sign says Mitsubishi Electric, so that's an EV factory shut down.

[G Rex]

1 minute ago, BritManToo said:

Sign says Mitsubishi Electric, so that's an EV factory shut down.

No.   Mitsubishi Electric produces air conditioners & home appliances.

 

[Tropicalevo]

5 minutes ago, BritManToo said:

Sign says Mitsubishi Electric, so that's an EV factory shut down.

Photos often have no relationship to the stories lately.

[Ben Zioner]

12 minutes ago, G Rex said:

Not sure what you are talking about here?

Subaru, Suzuki & Mitsubishi do not produce any 'big smoky V8'....

Apologies if I was too metaphorical..

[Callmeishmael]

It seems that every new car my neighbors buy is a BYD or a GWM product.  It's not surprising to see the Japanese/Thai car companies shutting down.

[steve187]

36 minutes ago, Celsius said:

 

How? They did not build the factory yet.

i saw a post on i believe facebook yesterday looking for 5000 staff, listing wages and list of job perks with a photo of a building with byd thailand on it

[G Rex]

18 minutes ago, steve187 said:

i saw a post on i believe facebook yesterday looking for 5000 staff, listing wages and list of job perks with a photo of a building with byd thailand on it

 

I thought that BYD were going to 'take over' the now defunct Chevrolet factories and showrooms.

[Celsius]

2 minutes ago, G Rex said:

 

I thought that BYD were going to 'take over' the now defunct Chevrolet factories and showrooms.

 

That's GWM

[brianthainess]

4 hours ago, Georgealbert said:

Believe this is the facebook post referred to in the story.

Thanks, I don't understand why the company in question was not mentioned in the story. 

[Georgealbert]

5 minutes ago, brianthainess said:

Thanks, I don't understand why the company in question was not mentioned in the story. 

Defamation, always better to play safe.

[brianthainess]

45 minutes ago, BritManToo said:

Sign says Mitsubishi Electric, so that's an EV factory shut down.

My fridge is a Mitsubishi, they make many electronic items, so not just EVs. just saying