KUALA LUMPUR – Kossan Rubber Industries Bhd will be calling for a conference call on Tuesday to address “market rumours”, sources familiar with the matter tell The Vibes.
While no details were given, it is understood that the glovemaker wants to address speculation that it will be fined RM90 million.
Human Resources Minister Datuk Seri M. Saravanan had been quoted by China Press as saying yesterday that a company has been identified as having allegedly flouted the Workers’ Minimum Standards of Housing and Amenities Act 1990 (Act 446) and will be fined RM90 million.
A ministry spokesman, however, quashed such claims, telling The Vibes that Kossan “so far is not in the list”, adding that the Labour Department “closely monitors everyone, especially those working in high-risk environments, to contain the spread of Covid-19”.
On the identity of the company and penalty quantum, Saravanan said it was too early to reveal the employer’s identity and that the penalty might be reduced.
Kossan’s listed peer, Top Glove Corp Bhd, is currently being investigated by the Labour Department over claims of substandard workers’ housing, after the Teratai Covid-19 cluster was established among its workers in Meru, Klang, leading to a temporary production halt in affected factories.
The Labour Department has opened 19 investigations papers in five states and will refer the findings to the Attorney-General’s Chambers.
Top Glove, on the other hand, said it has already spent RM20 million to improve living conditions in Meru, complying with the housing and amenities act, and has committed a further RM100 million to building new hostels for 7,300 workers over the next three years. – The Vibes, December 11, 2020
