Company that did not pay salaries since September 2023 issued notice, says minister

PUTRAJAYA: A notice has been issued to Kedah Agro Holdings Bhd for not paying salaries to 24 staff members since September 2023, says Steven Sim (pic).

The Human Resources Minister said the notice ordering the company, a subsidiary of Kedah Mentri Besar Incorporated, to pay months' salaries was issued in January 2024.

"The company has violated Section 19 of the Employment Act. Staff members have rights and we will not compromise on this issue.

"It (the company) has promised to seek assistance from the state government and I hope the matter will be resolved soon," he said at the sidelines of the launch of a free Social Security Organisation (Socso) contribution initiative by the Transport Ministry and Human Resources Ministry on Wednesday (March 13).

According to Section 19 of the Employment Act, employers must complete payment of employees' salaries no later than seven days after the last day of the salary period.

Sim was asked to comment on a viral post on X which claimed that Kedah Agro Holdings had failed to pay salaries to its 23 staff members.

The post also claimed that the company had already made deductions from employees' wages for Sosco and Employee Provident Fund (EPF) contributions.

Sim added that Kedah Mentri Besar Datuk Seri Muhammad Sanusi Md Nor was holding a meeting with the company and will be held on Wednesday.