Harita Prima suspends 3,500 employees

Thursday, June 14 2012 - 02:43 AM WIB

By Cepi Setiadi

Indonesian bauxite producer PT Harita Prima Abadi Mineral said it has stopped operation since early May 2012 after the implementation of Government Regulation Number 7, regarding the banning of mineral ores export.

Maghfur Lasah, Director of Harita Prima Abadi Mineral told reporters on Wednesday that the company has temporarily suspended 3,500 of its employees after the company halted its operation as the first efficiency measure.

"For the second step of efficiency (measure), we are currently considering rationalization (permanent layoff) of employees, possibly up to 50 percent, because the company has no longer gained income,? Maghfur said.

Harita Prima Abadi Mineral produces about 2 million metric tons per month of bauxite from its mine in Ketapang Regency, West Kalimantan. All minerals produced are exported to China.

Editing by Reiner Simanjuntak

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