3 Dec 2008

Samoa's biggest private employer seeks government assistance

9:14 am on 3 December 2008

Samoa's biggest private employer, Yazaki Samoa, has asked the Samoa Government for help as it struggles to survive.

Last month the manufacturer of wire harnesses for vehicles began laying off 80 employees after customers reduced orders.

Yazaki's General Manager, Funefeai Oliva Vaai, says its appealing to the government for help while it tries to stay afloat.

Car manufacturers such as GM Holden and Mitsubishi have drastically reduced orders as automobile sales overseas slumped putting a strain on Yazaki's cash flow.

Yazaki is requesting reductions in tariffs on shipping, electricity and Value Added Goods and Services Tax.

The Japanese owned company is also asking the government to reimburse costs that it spent on improvements to the factory facilities at Vaitele.

The Yazaki premises are owned by the government.

Funefea'i says the government has moved very quickly to secure help for Yazaki and has appointed a committee to review a rescue package for the company.

This committee, he told Samoa Observer, is headed by the Chief Executive Officer of Inland Revenue.