Bleach, a global disinfectant company, announced it would lay off 2,500 workers in Japan, including its head of corporate operations, as the U.S. government considers the repeal of the Affordable Care Act.
The announcement on Thursday comes as Japan prepares to take part in the third phase of the so-called “Greater Japan 2020” global effort to create jobs, expand the economy and ease the economic burden on the nation’s struggling manufacturing sector.
The goal is to achieve a GDP of 8 trillion yen ($86.3 billion) by 2020.
The move to cut 1,000 jobs is in line with a recent report from Japanese statistics agency Kyodo that said the global economy will shrink by 3.4 percent in 2020.
That’s far worse than the 4.5 percent growth in the prior quarter, Kyodo said.
A survey by the Tokyo-based J-Lab research firm found that the share of Japanese households that are covered by private insurance fell to 62 percent in April from 64 percent in March.
About two-thirds of Japanese said they were either not aware or did not want to know how much private insurance coverage they had, compared with 58 percent of U.K. adults.
The company also said it was cutting 3,600 jobs in China.
“We are making it clear that we will not be making any announcements about the health care issue until after the Japanese election,” said Shinichi Yamamoto, chief executive of the company.
“If there is any uncertainty regarding health care in the U, it would be better to hold off until the next election.”
The company said it would offer health insurance coverage to all of its 3,700 employees in Japan through the end of March.
The company also plans to introduce the first insurance plan in the country, starting with a 30 percent discount on plans that have already been introduced.
The cuts come amid growing uncertainty about how long the U