Seiko Epson relocates plants

TOKYO : Seiko Epson Corp., an affiliate of Japanese watch maker Seiko Corp. will end production of scanners in Singapore and lay off 700 local employees, a report said Tuesday.

The company will transfer its scanner production to Indonesia and China to take advantage of cheaper labor and other costs, the Nihon Keizai Shimbun said.

The 700 people to be dismissed are employees of Singapore Epson Industrial Pte. Ltd., a wholly owned subsidiary of Seiko Epson, the paper said.

The employees account for roughly 40 percent of the subsidiary's work force of 1,700 and the cuts will be made gradually through September, it said.

The subsidiary will continue to produce watch parts, semiconductors and printers, it said. --AFP