The Construction, Energy and Timber Workers Union of Fiji (CETWUF) has raised urgent concerns regarding the recent redundancy of 175 workers at Fletcher Higgins Fiji. This development poses significant implications for Fijian investments held through the Fiji National Provident Fund (FNPF) and Fijian Holdings Limited (FHL). The company, which currently employs around 580 workers, notified the union of the redundancy after withdrawing from a tender with the Fiji Roads Authority (FRA) for maintenance contracts.
CETWUF General Secretary, Salesh Naidu, described the situation as sending shockwaves throughout the sector, emphasizing that the fallout extends beyond mere job losses. “This is not just a foreign company downsizing; this is a Fijian-owned enterprise facing collapse,” Naidu stated, highlighting that Fletcher Higgins is 50 percent locally owned, with shares divided equally between the workers’ FNPF and Fijian Holdings Limited. He stressed that each lost job and every financial setback directly affects the savings of ordinary Fijians and the national investment portfolio.
Further complicating matters, Naidu revealed that the company’s contract with the FRA has operated on a precarious month-to-month basis for the last nine months and lack of long-term pricing agreements has rendered business challenging. Payment delays reaching up to 80 days against a contractual expectation of 30 days have contributed to an unsustainable financial situation for Fletcher Higgins.
“The company has operated at a loss for two years as the value of works awarded has been significantly reduced,” he noted. The potential collapse of this enterprise, known for its quality road works and fair employment practices, would deliver a serious blow to the local industry.
In response to the crisis, CETWUF is calling on the government to direct the FRA to engage in good-faith discussions with Fletcher Higgins to seek a solution. “We support empowering local contractors, but not at the expense of established, high-quality Fijian operators and the jobs they provide,” Naidu concluded. The failure to address this crisis could result in the loss of all 580 jobs and a severe devaluation of Fijian investments, affecting the broader economy.
Hope remains that both government intervention and open dialogue can yield a resolution that protects workers and supports the stability of local businesses, ensuring the preservation of jobs and investments vital to Fiji’s economic health.
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