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Samoa Packing plans layoff of more than 200 employees
Tuesday,
June 5, 2007
Samoa Packing's Senior Vice President of Operations and Supply Chain Mr. Jim Davet said in a statement that Samoa Packing is disappointed in the new minimum wage hike but expects to work with Congressman Faleomavaega and the US government to establish program that offset the new wage bill and that will make American Samoa competitive internationally. Davet said short term the initial 50-cent increase will result in a workforce reduction of just over 200 employees. He said the cannery is now looking at many options and are waiting to see what the US government’s next step will be to offset the wage disadvantage.
Davet said the cannery is concern about the situation the new wage bill creates and cannot answer questions regarding future investment and employment until it knows what Congressman Faleomavaega and the US government will do to offset the negative aspects to the minimum wage and what the new long-term solution for American Samoa will be. He said Samoa Packing looks forward to working with the congressman, the governor and the US Congress on the long term solution for American Samoa, and there is hope for the territory if the US government steps us.
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