OVER a month before Christmas, a total of 196 workers in Lapu-Lapu City were displaced from their jobs after the companies they worked for either shut down operations or experienced a slump in market demand.
A total of 113 employees were retrenched following one company’s downsizing in response to a slowdown in market demand. The 83 others were terminated after a Japanese-owned company decided to shutdown operations after 27 years at the economic zone in Lapu-Lapu City.
Lapu-Lapu City Public Employment Service Office (Peso) officer-in-charge Kim Francisco on Thursday, Oct. 31, 2024, told reporters that the retrenched workers previously worked for a firm that produces ornamental pots.
In a letter sent to Peso, the management informed that the retrenchment was “due to the slump in demand” in the market and less orders from foreign buyers which eventually led to the decision to prevent further losses.
Meanwhile, employees from a Japanese company personally visited Peso on Thursday to inform officials that the company had closed down, said Francisco.
Francisco said that the owners decided to permanently close the company as its owners are getting older and can no longer manage the business.
He added that the workers were promised by the management that they will be endorsed to another company.
However, he stressed that it is not guaranteed that they will be directly accepted as they need to undergo the application process.
“There’s no assurance because they need to apply again. So, they are back to zero. Out of the 83, nine decided they will not apply back,” said Francisco.
“Kaye” (real name withheld), 45, a production worker of the Japanese company, said that she was one of the 83 workers who was affected by the closure as she is the only one supporting her family.
“Akong bana naa siyay problema sa iyang health, unya ako nalay nag support unya naa koy anak college, nya nag-abang pa pud ko maong lisod kaayo karon na ingon ani ang among company na sira,” said Kaye.
(My husband has health problems, and I’m the only one supporting our family. I also have a child who is still in college, and I’m still paying rent. So, it’s very difficult for us right now with our company closed.)
She added that with her age, she will have a hard time finding a job where she will have to restart and apply over again.
Since 2023, 8,079 employees have lost their jobs. Six companies have also closed down in 2023, and three for this year.
Francisco said that another company has shut down, but this has yet to be verified.
Intervention
Francisco reported that the two companies issued their final payments in October, and the displaced workers encountered no issues.
Peso will endorse the displaced workers to the Department of Labor and Employment 7 for any livelihood assistance.
Likewise with the Department of Social Welfare and Development 7 for
financial assistance.
Francisco noted that the cash assistance may not immediately be distributed due to other pending similar cases.
An upcoming local and overseas job fair will be held on Nov. 8 at the Outlets Pueblo Verde which will open doors to the displaced individuals and other interested job seekers.
A barangay job fair will also be held in Barangay Canjulao on Nov. 29 to cap off this year’s series of job fairs. / DPC