Malaysia

Govt acts against ex-Dyson supplier ATA over labour law violations

Company faces legal sanction for failing to provide minimum standards of accommodation, complaints of forced labour

Updated 4 years ago · Published on 11 Dec 2021 6:20PM

Govt acts against ex-Dyson supplier ATA over labour law violations
ATA contends that all overtime work was voluntary, and says the company paid double for work on Sundays. – Pic courtesy of ATA IMS Bhd, December 11, 2021

by Arjun Mohanakrishnan

KUALA LUMPUR – Authorities are taking action against former Dyson supplier ATA IMS Bhd over four employment law violations concerning worker accommodation and complaints of forced labour.

This comes after Dyson severed its relationship with ATA following an independent audit of the company’s labour practices and accusations by a whistleblower.

Following a Reuters report, the complaints centred around accusations of poor working and living conditions for foreign workers who were also said to have been forced to work excessive overtime hours.

Authorities that inspected company premises in February, May and July said that the charges slapped against ATA were for failing to provide minimum standards of worker accommodation.

Amendments to the Workers’ Minimum Standards of Housing and Amenities Act 1990 came into force on September 1 last year.

The amendments to the law grant the Human Resources Ministry power to act against errant employers over accommodation matters.

It also compels employers to come forward and report undocumented migrant workers who must receive their Covid-19 vaccinations.

Failure to comply with the provisions in the law could see employers fined up to RM200,000, three years imprisonment, or both.

Last month, Reuters also reported that ATA’s migrant workforce did an excess of 104 hours of overtime, even working on Sundays.

ATA, however, contends that all overtime work was voluntary, and said the company paid double for work on Sundays. – The Vibes, December 11, 2021

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