440 textile workers fired

PEKALONGAN, Central Java: More than 440 textile workers lost their jobs after their companies went bankrupt due to a market slump and soaring raw material prices.

All were workers at PT Sugih Mitra Kharisma, PT Faristeks and CV Tobal Batik Industri, chief of the local manpower office Suprapto said Wednesday.

He said that only a few of the employees of the many thousands in this "textile town" were going to lose their jobs for the same reasons.

"PT Sugih Mitra Kharisma and PT Faristeks have officially closed down and given their employees severance pay of between Rp 120,000 and Rp 600,000 (US$53-268) each," he told Antara.

Director of the financially troubled CV Tobal Batik Industri Fatichah Achmad confirmed she had dismissed 200 workers. "The move was made to save the company," she said. (pan)