The head of the Worker’s House in Semnan announced that 1,200 workers have been laid off from the Oghab Asfhan bus manufacturing company in the past year.

ILNA reports that Habibollah Mohaqeq attributed the layoffs to financial problems caused by economic sanctions.

The report indicates that 700 workers have been laid off in the past three months and management regularly dismisses five workers.

Oghab Afshan is the largest bus-manufacturing company in the country’s private sector and has been in business for the past 60 years.

Mohaqeq reports that the company now functions with minimal human power, and technical shortcomings in the company’s products have caused many of its buses to fail the government’s quality-control checks.

He adds that the company used to produce seven buses a day but that has now been reduced to one per day.