Metro Manila (CNN Philippines, February 25) — The closure of Honda’s production operations in the country was a decision made by the automobile’s headquarters, a government official said Monday.
According to Department of Trade and Industry (DTI) Secretary Ramon Lopez, the closure of Honda’s production plant in Sta. Rosa, Laguna in March, was a “global decision” that was made in response to the overall global situation of the company.
READ: Honda Cars PH to stop automobile production in March
“It has nothing to do with the Philippine management or Philippine operations… Of course they recognize that they’re experiencing a market slowdown globally kasi nga you know ‘yong problem pa ng US-China so kahit medyo na so-solve sana, sumunod naman si COVID-19,” said Lopez.
[Translation: It has nothing to do with the Philippine management or Philippine operations… Of course they recognize that they’re experiencing a market slowdown globally because of the US-China problem, which was supposedly about to be solved, but COVID-19 followed.]
HCPI has a capital investment of ₱1.9 billion. Established in 1990, the company started production in 1992.
Honda also reportedly closed down their production operations in the United Kingdom, Turkey, Argentina, and Mexico.
After meeting with the Japanese automobile company, Lopez confirmed that 387 workers will lose their jobs, but will receive “generous compensation.”
He added that government agencies, such as the Department of Labor and Employment (DOLE) and DTI, will be able to extend help to affected workers.
“Makakahanap din ng mga kapalit na trabaho. TESDA is always there kung kailangan ng retooling, retraining kung kailangan ng ibang skills,” Lopez said.
He also said that DTI will help the workers out if they want to start a small business. Livelihood startup kits and microfinancing will also be made available.
Labor group Defend Jobs Philippines earlier aired their sentiments regarding the closure, urging Labor Secretary Silvestre Bello III to “directly intervene and conduct impartial investigation.”
“Our government must not just allow the announced closure of HCPI without undergoing proper evaluation and assessment but rather consider the holistic benefits of Filipino workers,” said Thadeus Ifurung, Defend Jobs Philippines spokesperson.
