Sunday, September 27, 2020

Exec clarifies closure of PCR as internet rumours swirl

Dec 25. 2019
Wanich Boontang
Wanich Boontang
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In response to speculation on social media on what caused the closure of Pongpara Codan Rubber (PCR), senior manager Wanich Boontang said the company had ceased operation due to several factors, including over Bt100 million in loss last year.

Also, he revealed that PCR had offered the ‘voluntary early retirement’ scheme three times before the company was finallly closed. “It was intended for those employees who wanted to resign. Most employees were aware of the problems and the company owner did not make the decision suddenly” he explained.

“PCR was closed legally, and had no intention to overthrow the Thai Auto Product Workers Union Thailand (TPT) as internet rumours have suggested," he said. 

Meanwhile, the TPT president Suppanyu Namthaisong said PCR was not in deficit previously. It paid employees' salaries on schedule and always discussed with the union on worker-related issues. The rumours were probably created by those employees who wanted to get more, in terms of compensation, from the company," he added. 

PCR was a manufacturer of tyre and plastic parts for the auto industry, in Samut Sakhon province. The company announced its closure on December 23 with immediate effect and the workers, it was initially reported, were not told of the reasons. 

The factory's closure has left workers jobless. Over 620 of them are gathering in front of the premises today (December 25), waiting to hear details of the compensation package, which will be paid tomorrow.

In addition, a Facebook page named ‘Thailand Vision’ revealed on Tuesday (December 24) that a Facebook user, claiming himself as one of PCR employees, posted that the company ended its business as a way out of a dispute on labour welfare with the union, instead of financial problems.

“The union submitted its proposal on labour welfare to PCR owner on November 25” said the post, adding that “there were four rounds of discussions held on the matter before the company was closed”.

Moreover, the post said the owner of PCR had registered a new company named PR Production (PRP) to continue all PCR manufacturing activities with some employees joining from PCR.

However, PRP was later explained as a reopening of PCR by new owner.

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