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Taksi Express lays off 400 employees by Q3

Senin, 09 Oktober 2017 / 06:40 WIB

Taksi Express lays off 400 employees by Q3

KONTAN.CO.ID - JAKARTA. Conventional taxi operator PT Express Transindo Utama has laid off 400 of its employees by the third quarter of 2017, following the decline of its financial performance, which is believed to be a result of failing to compete with ride hailing apps.

Benny Setiawan, CEO of PT Express Transindo Utama or the Express Group, an operator of Taksi Express, said that his company would not lay off more of its employees because they had reached an ideal number of employees.

“We managed to reach efficiency by laying off 400 employees,” said Benny in Jakarta as reported by tribunnews.com.

Drivers were not among those who lost their jobs, said Benny, adding that the company would even recruit more drivers and would rely on technology.

“We will rely on technology and recruit as many drivers as possible,” said Benny, adding that among the employees affected by the layoff move, were mechanics and call center officers.

The company plans to sell its assets – several buildings, one bus and 136 cars – to help it collect the Rp 2.5 billion (US$185,130) that the company needs to pay off debt, said Benny, adding that the second phase of asset sales is expected to collect Rp 3.5 billion.

He explained that his company’s revenue sharply declined to only Rp 158.73 billion up to June 2017, compared to Rp 374.06 billion in the corresponding period last year.

Currently, the government is revising a regulation to regulate fair competition between conventional taxis and ride hailing apps.

Sumber : The Jakarta Post
Editor: Wahyu Rahmawati


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