Fletcher Higgins Fiji has announced the issuance of redundancy notices to 175 employees, citing ongoing difficulties with its road maintenance contract with the Fiji Roads Authority (FRA). The company, which employs approximately 580 individuals, has seen its maintenance contract renewed only on a month-to-month basis for the last nine months, lacking a stable agreement on contract pricing.
The Construction, Energy and Timber Workers Union of Fiji (CETWUF) reported that Fletcher Higgins withdrew from the tender process for continuing the maintenance agreement, resulting in immediate layoffs and the potential for additional job losses. The union revealed that the company has been operating at a loss for the past two years due to a reduction in the scope and financial value of work awarded under the FRA maintenance agreement.
According to CETWUF representative Salesh Naidu, the average monthly turnover for Fletcher Higgins in 2024 was between $7 million to $8 million, but this figure has fallen by half in 2025. Further compounding the issue, delays in payment, stretching up to 60 to 80 days, have exacerbated the financial strain on the business, despite a contractual clause stipulating a 30-day payment period.
Fletcher Higgins, which is partly locally owned—with 50% of its shares shared between the Fiji National Provident Fund and Fijian Holdings Limited—expressed regret over the impact of these redundancies on employees and their families. CETWUF, which has a Collective Agreement with the company, is alarmed by the developments and is urging immediate government intervention. Naidu emphasized that the situation transcends the company itself and has broader implications for Fijian workers and investments.
There is a growing concern that without intervention from the FRA and the government, the viability of the company, which has been recognized as a leader in delivering quality road works and offering competitive wages, could be threatened. CETWUF is advocating for the government to facilitate constructive discussions between the FRA and Fletcher Higgins to create a mutually agreeable solution.
While the union acknowledges the FRA’s efforts to promote local contractors, Naidu warns that these emerging operators may take time to meet the quality and efficiency standards associated with Fletcher Higgins. The urgency for government action is highlighted, as failure to address the current challenges could lead to further instability and the potential collapse of one of Fiji’s prominent road construction employers.
In light of these challenges, both union representatives and company officials express hope for a resolution that will protect jobs and support the local economy.
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