ID :
171560
Tue, 03/29/2011 - 12:34
Auther :

Over 100,000 Thai workers to be affected from Japan's disaster

BANGKOK, March 29 (TNA) - Amporn Nitisiri, director-general of the Labour Protection and Welfare Department, said that the disaster in Japan is currently affecting 325 businesses in Thailand, covering 108,808 employees.

Of the affected enterprises, 258 businesses with 68,955 employees, produce automotive parts and 58 enterprises with 37,007 employees produce electronic parts. Other enterprises, which are less affected, sell and repair vehicles, manufacture electrical wires or produce food.

The hardest hit province is Samut Prakan with 307 affected enterprises covering 99,600 employees, followed by Ayutthaya province where one large business with 4,135 employees has been hit. The major cause is the shortage of important raw materials used in their production cycles, these shortages have forced businesses to reduce productivity, cut overtime and implement enforced days off for their employees. Businesses must still pay salaries to their respective employees according to Section 75 and fully expect conditions to return to normal soon reducing the likelihood of any staff lay offs.

However, some businesses are actually benefiting from the disaster in Japan. Companies producing food and processed agricultural products in Chiang Mai province and automotive parts in Chon Buri province are benefiting from the fact that mother companies in Japan simply do not have the current capacity to manufacture their products and auto parts, so they assign their subsidiaries in Thailand to handle the manufacturing instead. These local companies have increased the shifts of their employees from two to three. (TNA)

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