Components factory lays off 270 staff

  • Nation
  • Friday, 07 Jul 2006

IPOH: The services of 270 management and union staff of APM Industries Holdings Bhd factory in Jelapang Industrial Estate here have been terminated. 

The employees received their letters when they turned up for work at 9am yesterday. 

It was the third such exercise by the company. It had re- trenched 280 workers in March and April as part of its plan to cease operations. 

State Education, Human Resources and Multimedia Committee chairman Datuk Dr Zambry Abdul Kadir said APM Industries was one of the main vendors supplying automotive components to Perusahaan Otomobil Nasional Bhd (Pro- ton). 

The company supplied harness wire to Proton. 

“I was informed that the company was in bad shape after Proton stopped its contract in the past months. 

“It is now under receivership,” he said. 

Dr Zambry said it was unfortunate that the workers were retrenched as a result of the company’s poor performance. 

He hoped the shareholders would comply with the Labour Law and compensate the workers accordingly. 

“We will meet the affected employees to see how we can help them,” he said. 

An employee, identified only as Zakaria, said the employer had not stated any benefits in the termination letter. 

“We are at a loss and we do not know what is our next course of action,” he said, adding that most of the laid-off employees had served the company for more than 15 years. 

APM Industries' other plant in Kampung Gajah, with 255 staff, is also on the verge of ceasing operations.  

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