`I have to lay off some of my employees'

`I have to lay off some of my employees'

The government's decision to remove the fuel subsidy and increase
utility rates has created difficulties for most people, including
entrepreneurs. The result has been that some workers have lost
their jobs. The Jakarta Post spoke with a number of
businesspeople:

Budiono Rachman, 42, owns an 18-room hostel on Jl. Jaksa, in
Central Jakarta. He lives nearby with his wife and son:

It depresses me thinking about how I will cope with the
situation following the recent government decision to increase
prices.

I just sold my old car to reduce my fuel costs. I am suffering
from the telephone and electricity rate hikes because my hostel
occupancy rate has dropped to less than 20 percent.

Earlier this month I laid off two of my employees because of
the financial burden. Now I am working with only one employee to
manage the hostel. But I had to pay him more and give him other
incentives due to his increased work load.

Otherwise, my business wouldn't survive. I don't have any hope
of making a profit. I earn just enough to keep the business
running, that's all.

I don't know with whom I should be angry in this case. The
government is no longer reliable.

Rosalie Ticman, 32, owns her own public relations firm in
Pondok Pinang, South Jakarta, and lives in Cibubur, East Jakarta.
She has been running the company for three years:

The impact of the fuel and utility price hikes is a real
headache. The biggest burden is from the telephone and
electricity rate increases.

It badly influences the operational costs of my company. I
can't mention the figures, but the important thing is that
operations costs are getting higher.

Worse still, I have to think about my 15 employees. I have
proposed in the immediate future to give them raises, at least to
increase their transportation allowance. But again the figures
will vary, depending on the distances. I don't know how much I
will increase the allowance.

I don't think I will be able to raise their monthly salaries
despite the fact that revenue has so far been quite good for a
little company like this one.

Regardless of the worsening conditions following the fuel and
utility price increases, I will try my best not to lay off my
employees. I'm aware that most of them have families to support.

I won't expect too much from the government. Wishing for
something good from the government is a waste of time. It's
better to move on with what we have and with what we can do.

Rudy Dodo, 32, owns an interior consultant company with 15
employees in Central Jakarta:

I'm upset about the recent utility price hike that caused the
company's expenses to soar. Moreover, I heard that furniture
prices will soar too, by 10 percent to 15 percent. Thus the hikes
may cut down on the company's future projects.

From the beginning I have been running an efficient system, so
I cannot reduce my company's expenses any further.

Unfortunately, I bought a diesel engine van for the company
recently, because diesel oil prices were cheaper than gasoline.
But, alas, now diesel prices are higher than gasoline.

I give my employees a raise once a year. Last year I gave them
a raise in January, but this year I may wait until March because
business was sluggish in December and so far this month.

But I am still optimistic about my company, even though me and
the employees have to suffer a bit.

I fully support the people who have held demonstrations
protesting the hikes, but I cannot join them because I am busy.
However, I thought that if there were no protests, I would do it
myself.

I think people in the government have to feel the poor
people's suffering.

-- Leo Wahyudi S and Evi Maryani