The Construction, Energy and Timber Workers Union of Fiji (CETWUF) has issued an urgent appeal for government intervention following the announcement by Fletcher Higgins Fiji about the impending redundancy of 175 employees. This development has raised significant concerns regarding local investments linked to the Fiji National Provident Fund (FNPF) and Fijian Holdings Limited (FHL).
Fletcher Higgins, which employed a total of 580 workers, communicated its decision to CETWUF after stepping back from a maintenance contract with the Fiji Roads Authority (FRA). Salesh Naidu, General Secretary of CETWUF, articulated that the layoffs have triggered widespread alarm throughout the sector, stressing that the implications extend far beyond just job losses.
“This is not simply about a foreign entity reducing its workforce; it’s a Fijian-owned company that is on the verge of collapse,” Naidu asserted. He pointed out that since Fletcher Higgins is 50% locally owned, the potential loss of jobs and subsequent financial challenges directly affect the savings and investments of ordinary Fijians. The company has been struggling with its FRA contract on a month-to-month basis for the last nine months, lacking a long-term pricing agreement. Additionally, payment delays of up to 80 days, compared to the agreed 30-day terms, have compounded the operational difficulties.
Naidu further noted that Fletcher Higgins has reported losses for two consecutive years due to a substantial reduction in both the scope and financial value of the work under the FRA maintenance agreement. Failure to address this situation could lead to not only the loss of jobs but also a significant decline in the value of Fijian investments.
In response to this escalating crisis, CETWUF is urging the government to encourage the FRA to engage in constructive dialogue with Fletcher Higgins to explore viable solutions. Naidu emphasized the union’s dedication to supporting local contractors while warning against the detrimental effects of undermining reputable Fijian operators and the job opportunities they generate.
The current situation highlights the urgent need for decisive government action to protect jobs and enhance the security of Fijian investments. Amid ongoing conversations regarding labor rights and working conditions within the construction industry, collaboration among the union, government, and local enterprises will be crucial to navigate this challenging circumstance and ensure job stability and economic viability in the region. There is hope that with commitment and cooperation, a constructive path forward can be found, benefiting both workers and the local economy.