Ministry of Industry Summons Michelin After Mass Layoff Reports Emerge

KatadataOTO – Recently, news has spread about mass layoffs (PHK) conducted by Michelin. The tire manufacturer is said to be reducing its workforce at its factory located in the Cikarang area.

The issue then became a topic of public conversation. It even reached the Ministry of Industry (Kemenperin).

The Ministry of Industry has spoken out about the news of mass layoffs carried out by Michelin some time ago.

They claim to have summoned the tire manufacturer to provide an explanation regarding the current situation.

Photo : Michelin

"We have requested clarification from the company regarding this layoff issue," said Febri Hendri Antonio Arief, Spokesperson for the Ministry of Industry, on their official website, Monday (03/110).

According to Febri, Michelin conveyed that they are in a tight situation. This is due to a decrease in demand.

This has resulted in a decrease in production. The situation has forced them to improve efficiency.

"We emphasize that any workforce adjustment process must comply with legal provisions and ensure that workers' rights are fulfilled," Febri continued.

The Ministry of Industry also encourages Michelin to consult with the labor union. And then to implement the Collective Labor Agreement (PKB).

On the other hand, the Ministry of Industry asserts that the national tire industry plays a crucial role in the domestic automotive, transportation, and manufacturing ecosystems.

Therefore, strengthening this sector is a priority in the national industrial policy.

"We understand that global market pressures are affecting several industrial segments, including the tire industry," said Febri.

They will also make several efforts to create a more conducive situation. Such as providing assistance, and assessing the industry and labor situation.

Febri also confirmed that the Ministry of Industry is preparing reskilling and upskilling programs through the Industrial Training Center (BDI) if needed.

"The government remains committed to maintaining a healthy business climate, encouraging efficiency and innovation, and ensuring the sustainability of investment in Indonesia," Febri affirmed.

Photo : MotoGP

The Ministry of Industry will continue to monitor the developments of the mass layoffs of Michelin employees. This is important to ensure the entire process is transparent.

This way, no employee rights will be unfulfilled by Michelin in this efficiency process.

"The Ministry of Industry will provide further updates once it has obtained official and complete data from the relevant parties," Febri concluded.