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Labour Minister Shows Concern for GM Employees; Prepares 15,000 Vacancies and Support for Legal Benefits

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                The Labour Minister assigned the Advisor to the Labour Minister, the Department of Employment’s Director-General and the Department of Labour Protection and Welfare’s Inspector-General, to coordinate recruitment in the EEC provinces including Rayong, Chon Buri, and Chachoengsao. He also instructed agencies in the area to prepare over 15,000 job vacancies in the automotive industry, and support more than 1,500 workers to receive legal benefits.

                On February 18, 2020, Labour Minister M.R. Chatumongol Sonakul expressed concern for employees when General Motors or GM will discontinue selling Chevrolet vehicles in Thailand by the end of 2020. Great Wall Motors will buy GM Thailand’s automobile and engine manufacturing center in Rayong. The Labour Minister assigned Advisor to the Labour Minister Assoc. Prof. Dr. Jak Punchoopet to Rayong province, along with the Department of Employment’s Director-General Mr. Suchat Pornchaiwiseskul and the Department of Labour Protection and Welfare’s Inspector-General Mrs. Sopa Kieatnircha to investigate the facts and assist the employees in receiving benefits following the law.

                Assoc. Prof. Dr. Jak Punchoopet reported that the Rayong Office of Labour Protection and Welfare investigated. It found that General Motors (Thailand) Co., Ltd. is located at 111/1 Moo 4, Eastern Seaboard Industrial Estate, Pluak Daeng, Pluak Daeng, Rayong, with business in assembling Chevrolet cars. Currently, there are approximately 1,100 employees. General Motors Powertrain (Thailand) Co., Ltd. is located at 111/4 Moo 4, Eastern Seaboard Industrial Estate, Pluak Daeng, Pluak Daeng, Rayong, engaged in the production of engines. Currently, there are approximately 400 employees. The two companies combined have about 1,500 employees. If the companies discontinued the sale of Chevrolet vehicles in Thailand by the end of 2020, by selling the business to Great Wall Motors Co., Ltd. (a major Chinese manufacturing company of SUVs and pick-up trucks), in which the new company will not accept any employee transfers and does not have details about the recruitment of employees from the existing group.

                Assoc. Prof. Dr. Jak said that both companies have laid off approximately 1,500 employees (currently no labour contractors), with initial layoff plans. It will lay off employees in the production of parts in late June 2020, and then employees in engine production by the end of October 2020. The company will terminate employment supporting functions at the end of 2020.

                From the meeting between the company representatives and the Ministry of Labour’s executives, both parties will work together according to the mission. The company will pay compensation according to the labour protection laws. In addition, it will pay employees for another four additional months. The departments under the Ministry of Labour will provide protection for rights and benefit, and register the employees for unemployment, provide employment services and skill development for affected employees. As for the job positions, the provincial and government agencies will coordinate to employ within the EEC area, which consists of Rayong, Chon Buri, and Chachoengsao. They will help the employees of both companies, totaling over 1,500 people. Initially, there are 15,132 automotive vacancies nationwide, most of which are in production, machinery and other automobile parts mechanics, automobile mechanic, engineering technicians, and automotive engineers, for example. The job vacancies are in 3 provinces in the Special Economic Zone (EEC), which is divided into Chachoengsao with 660 people, Chon Buri with 643 people, and Rayong with 1,233 people, for a total of 2,536 people. The agencies will continue their work to help and alleviate the suffering of employees who are affected by the incident, to receive further legal protections and benefits.

 


Division of Public Relations

18 February 2020

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