Carib Cement trying to reduce workforce, Jamaica

Carib Cement trying to reduce workforce, Jamaica
Published: 27 October 2010

Caribbean Cement Company Limited has revealed plans to reduce its workforce, but says the number is subject to union talks.

No timeline was given for the job cuts or how many people it would affect, but all levels of employment in the company are expected to be affected as Caribbean Cement seeks to reduce its fixed costs by 20 per cent.

It currently employs 320 full-time staff and 50 casual workers, and its wage and salary bill was J$1.4bn in 2009.

"Carib Cement has been adversely affected by the general economic decline, the decrease in demand for cement, reduced sales, reduced market share, and unfair competition from dumped cement," the company said in a statement.

Export sales were up at June 2010, but domestic volumes have seen declines quarter to quarter, cutting into revenues. Top-line income across revenue streams fell from J$4.9bn at half-year 2009 to J$4.3bn.

The cement producer also closed the half-year with negative working capital, a J$139 million deficit, with current assets of J$3.31bn falling short of the J$3.45bn of current liabilities.