Malaysia

Glovemaker Kossan makes moves to deal with ‘market rumours’

It is speculated to be the company set to face RM90 mil fine for flouting Act 466

Updated 5 years ago · Published on 11 Dec 2020 5:08PM

Glovemaker Kossan makes moves to deal with ‘market rumours’
A Human Resources Ministry spokesman says Kossan 'so far is not in the list' of companies alleged to have flouted the Workers’ Minimum Standards of Housing and Amenities Act 1990 (Act 446). – Kossan pic, December 11, 2020

by The Vibes Team

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

Related News

Business / 4y

Glove makers should switch focus to non-medical industries: Zuraida

Business / 4y

Mah Sing gets clearance to sell medical gloves in US

Business / 4y

Hartalega’s net profit leaps to RM914 mil in Q2

Business / 5y

Phase 1 of Bidor rubber glove factory should be completed by 2023: committee chair

Business / 5y

Glove factories’ suspension may affect overseas interest: analysts

Business / 5y

George Kent shareholders agree to RM624 mil glove-related investment

Spotlight

Malaysia

Bersama suspends Nik Nazmi from party activities for three months

Malaysia

‘We have better things to do than orchestrate khalwat raids’ - Amirudin

Malaysia

Social media posts ‘emerge’- defending Ismail after Tuanku Muhriz’s public rebuke

World

Trump’s Muhammad joke about Iran presidency falls flat at Georgia rally

Health

Haze can cause life-threatening lung inflammation in cats and dogs, vet warns

World

Australia detects deadly H5N1 bird flu on Macquarie Island, threatening elephant seals

Malaysia

Agong warns against using social media to spread hatred, insult others

Malaysia

Nik Nazmi acknowledges he is the individual detained by JAIS

You may be interested

Malaysia

Floods displace residents in Perak and Kedah, while 19 homes are hit in Pahang

Malaysia

UM denies disciplinary action against student over Najib, Tabung Haji remarks

Malaysia

PDRM awaits Philippine confirmation on alleged politician’s role in 521kg drug seizure

Malaysia

Retiree loses RM42,580 to fake ustaz’s RM300k money-doubling scam

Malaysia

Elderly man dies after being beaten repeatedly

Malaysia

Woman remanded for four days over discovery of headless baby’s body in Terengganu

Malaysia

Thai arrests expose organised networks funneling migrants into Malaysia

Malaysia

Johor bears brunt of haze as nine areas record API readings above 150