Exel contracted with a local labor supplier, SHS Staffing Solutions, to provide temporary workers, including the J-1 students, for the summer months when work is at a peak, said Lynn Anderson, a spokeswoman for Exel.
The responsibility will now instead fall to the contracted labor supplier.
Kevin Connolly, a spokesman for labor supplier SHS, said that CETUSA handled the students' housing arrangements.
A hotel chain could certainly save a few dollars by shifting some of its workforce to an outside agency -- an arrangement that benefits both the hotel and the labor supplier.
In recent times, labor agents have taken hold of the business of migrant workers, and here in Nunukan, where the local population is only about 80,000, nearly two dozen businesses call themselves "labor suppliers".
A number of Fortune 1000 customers have already signed up for the service and Supplari argues that it has helped its customers save software licensing fees by 33percentt and consolidate $200 million in professional service and temporary labor suppliers.
Donald J. Carty, the chief executive of AMR, parent of American Airlines, and several colleagues want desperately to avoid bankruptcy and would rather work out labor and supplier concessions outside of court, he said.
But the government apparently wants to see deeper cost cuts from labor and suppliers.
"So my hope," he went on, "is that over the course of the next week, between the White House and Congress, the discussions are shaped around providing assistance, but making sure that that assistance is conditioned on labor, management, suppliers, lenders — all the stakeholders coming together with a plan".
So my hope is that over the course of the next week, between the White House and Congress, the discussions are shaped around providing assistance but making sure that that assistance is conditioned on labor, management, suppliers, lenders, all the stakeholders coming together with a plan what does a sustainable U.S. auto industry look like?
A bankruptcy filing by GM would surely do so, since it would give GM an opportunity to toss out costly labor agreements and supplier contracts, leaving Ford at a competitive disadvantage.
