Insurance firm prepares for layoffs

Insurance firm prepares for layoffs

SURABAYA, East Java: State insurance company PT Jamsostek has set aside funds ahead of mass layoffs and workers taking early retirement, following the recent increases in utility prices.

Sentot Widarto, the head of Surabaya's Jamsostek office, said on Friday that his office had set aside funds to pay out pensions and compensation to those facing layoffs.

He added that the insurance company had always been ready to disburse benefits.

In 1998, the company compensated 80,000 laid-off workers, mainly employees of banks, airline companies and export-oriented firms.

He estimated that the number of laid-off workers would not exceed 20,000 employees. -- Antara