Body Fashion (Thailand) Ltd, a manufacturer and distributor of women's lingerie and swimwear under the Triumph trademark, announced on Monday that it would lay off 1,930 staff at a factory in Samut Prakan province in August because of the global economic downturn and lower demand for its products.
"The company needs to cut the sewing output by about 37%, which will mean the company laying off 1,930 workers at Bang Phli," the company statement said. "This will be effective on Aug 28."
However, the factory at Bang Phli will continue to function with the remaining staff, it said.The reductions would not affect the sales and marketing departments.
The company's factory in Nakhon Sawan, where there are more than 2,000 workers, will continue to operate at press staffing levels, it said.
The company Âstatement said it was working with the labour union and the Labour Ministry in finding new jobs for employees to be made redundant and providing them with financial compensation.
"The affected workers will be fairly treated," it said.
Wanpen Wongsombat, leader of the company's labour union, said the company had not tried to cut cost earlier and had never informed employees it was facing problems.
Many of the staff who were being laid off were quite old and would find it difficult get a new job.
"Laid-off staff demand that the company pay higher compensation. The majority of the staff who are being laid-off earned no more than 6,000 baht a month.
''This means they Âwill only get tens of thousands of baht in compensation," Mrs Wanpen said.
"I would like the company to take care of the staff for one last time, because all have dedicated themselves to the company."
The company said it would pay the redundant workers at rates set down in the labour law, and would give each an extra one month's compensation.
