TIJUANA (Border Report) — As of Monday, 19 maquiladoras plan to close their doors for at least a month in response to the COVID-19 precautions south of the border.
The closures will result in about 4,200 employees being temporarily laid off.
“We are going to follow the state of emergency decree and join officials and our employees to safeguard our well being by letting everyone stay home and follow the quarantine and together lower the spread of the Coronavirus,” said Ossie Diaz with Grupo Tacna, which operates and oversees factories in Mexico for foreign investors.
“Managers at some of the companies owned by American interests have agreed to give up 25% of their salaries to benefit displaced employees.”
But many employees affected by the layoffs have expressed concerns about their ability to make ends meet.
“We are telling them to seek out their banks and other creditors to see if they will defer payments until this situation is over,” said Diaz.
Mexican President Andres Manuel Lopez Obrador has said he wants companies to continue paying employees through work stoppages associated with COVID-19.