Chunghwa Picture Tubes (CPT) has announced plans to slash as many as 2,500 jobs or nearly 70% of its total workforce, as it struggles to survive from its restructuring efforts.
As the company has sunk into financial difficulties due to unfavorable environments, the company has to streamline its operations including cutting expenditure on personnel and dispose idle facilities, the company said in a statement.
The company currently has a total of 3,602 employees at its two LCD fabs in Taoyuan, Taiwan and negotiations for severance payments will begin on March 18 with the layoff plans to start being implemented on May 10, the company said.
During the negotiation period, the company said it will continue to maintain its operations and accept orders on a case by case basis, expecting sales to improve starting March-April.
The company posted revenues of NT$103 million (US$3.33 million) for February, down 40.9% on month and 95% on year. In February, shipments of small- to medium-size panels reached 920,000 units, down 67.1% on month, while large-size panels shipments were almost completely suspended, declining 98.9% from the previous month.
For the first two months of 2019, revenues totaled NT$277 million, decreasing 94.2% from a year earlier.
CPT said it has filed an appeal against a court ruling that rejected its restructuring plans submited earlier.
CPT to axe 2,500 jobs
Photo: Digitimes file photo
Article translated by Steve Shen
