In a clear sign of the country's economic woes, Japanese carmaker Toyota Motor Thailand has launched a voluntary redundancy programme, aiming to shed 800 workers. According to Phuphal Samata, president of Toyota Thailand Workers' Union, the programme has been offered to contract workers, who account for 40% of the 16,477 employees at Toyota's manufacturing facility in Thailand. Those seeking redundancy are allowed to register for the scheme until July 9. They will get compensation in accordance with the labour law, a 16-day bonus and a 30-day extra payment.
The programme will take effect on July 13. However, according to Mr Phuphal, Toyota pledged to re-employ those employees in their same positions within a year. "The company attributes the programme largely to the depressed condition of Thailand's automotive industry, which has been hit by the first-time car buyer scheme and the poor global economy," he said. "After the tax-rebate programme expired in 2012 Toyota has been trying hard to adjust its manufacturing to cope with the sluggish sentiment." Toyota's current production is only 60-70% of total productivity. Although Toyota's popular Hilux Revo pickup...