20% of contractors put out of work
About 2,000 contracting companies with 200,000 employees have closed down this year as a result of the economic crisis and the government's delay in taking bids on projects.
Thai Contractors Association secretarygeneral Aungsurus Areekul said that figure represented 20 per cent of all contractors in the Kingdom.
The company closures had also resulted in several construction projects being left uncompleted, the total value of which could not be calculated, he said.
Subsequent unemployment will lead to problems with crime, while unfinished projects will slow down infrastructure development.
"Prospects for our industry are not bright. Although the Cabinet has approved measures easing contractors' misery caused by unfair price adjustments and rising rawmaterial costs, the officers in the relevant departments have not taken action on those measures yet," he said.
To encourage the government to imple¬ment serious, effective measures, the asso¬ciation will submit another petition to whomever is appointed prime minister this week.
"We don't know what to do to help local contractors survive this crisis. More firms are forecast to close soon if only a few of the construction projects in the govern
ment's pipeline are approved," he said, adding that financial institutions should not to put too much pressure on firms that lacked financial liquidity.
OTHER BUSINESS
-
Excavator plant to start in 2010
Bangkok Komatsu spent more than Bt1 billion on its second excavator-assembly plant at Bangpakong to serve.... -
Glow building 3 power plants
Glow Energy will proceed with three new power plant projects, despite the drop in quarterly net profit on the....
{literal}
Top Stories
- Businessmen: Samak's return unwanted
- Chiang Mai 3G phone users ask for greater network coverage
- Full Moon loses its charm to tourists
- EU to sign Asean amity, cooperation treaty
- Tourism revenue to take a hit as political woes scare foreigners away
- Thailand ranked 13th in Doing Business 2009 report
- Tax authorities to plug loophole exploited by the rich
- Rift threatens to widen as govt backers plan rallies
- Term to 'be even shorter'
- Mega projects continue as planned
Tel 66-2-338-3000(Call Center), 66-2-338-3333, Fax 66-2-338-3334