Thousands of timber workers laid off

JAMBI, Jambi: Almost 2,000 timber workers have been laid off in Jambi during the past few weeks because of slow business there, with workers complaining their severance pay was illegally low.

Among those laid off were 1,300 former workers of PT NPP, which operated in Muarojambi regency, Jambi province.

A NPP worker, Purwanto, who received a single month's wages of severance pay this week, said the company was not holding to an earlier agreement it would give workers severance of two month's wages.

Chief of the local manpower office Haris Rachim said the company had paid an adequate amount to the workers. "The government can not force the company to pay severance pay in full as the company is really bankrupt," Haris said.

Many timber companies lack raw materials since the government launched a nationwide campaign to eradicate illegal logging in March this year. -- JP