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Company finalising payment for workers


Workers at a peaceful protest outside the steel factory in Kuantan. - Bernama

Workers at a peaceful protest outside the steel factory in Kuantan. - Bernama

KUANTAN: Kinsteel Berhad is still in the midst of finalising the outstanding salary payment for its retrenched workers here.

Its chief executive officer Datuk Henry Pheng Chin Guan said the company was currently computing the final payment and negotiating with the workers’ union representative.

He said this in response to the incident where more than 80 former Kinsteel workers held a picket in front of the plant in Gebeng here to demand for their remaining salary payment.

Former plant supervisor Zafran Ahmad, 43, said no one had contacted them since they were laid off in October.

“The retrenchment was sudden.

“There was no prior notice and suddenly a memo was issued saying that all workers had been laid off from Oct 17 onwards,” he said.

He said there had been no compensation whatsoever since then.

“We have taken the matter to the Labour Department and a mediation was supposed to take place at the end of November but no representative from the company turned up,” said Zafran.

It was reported previously that the workers were retrenched in order to carry out a restructuring plan.

Pheng reportedly confirmed that there was an outstanding payment of one month’s salary to the workers and it would be paid out before the end of October.

He said that the retrenchment only affected one of Kinsteel’s six production plants in Kuantan and they would rehire the retrenched workers in six months as they planned to reopen the line with new equipment.

Former machinist Mohd Khaizal Idris, 42, said they just wanted what was rightfully theirs.

“We have worked for the company for 15 to 25 years. Many of us have yet to find new jobs after the sudden retrenchment.

“We just hope that the company can compensate us as soon as possible,” said Mohd Khaizal.

According to its website, Kinsteel Berhad is one of the largest steel millers in Malaysia and ranks among the largest integrated players in the region.

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