Minister urges Utusan to reconsider shutdown


Ravin Palanisamy

HUMAN Resource Minister M. Kulasegaran today urged Utusan Malaysia to reconsider its decision to immediately shut down its operations, a move affecting more about 800 workers.

He said Utusan being the nation’s oldest Malay language daily should remain and that there could be others who could financially rehabilitate the company.

“I just read the news. I have to get the proper feedback from Utusan and my department, but I can tell, if it is true, I will ask the employers to reconsider as Utusan has been in the business for a long time, or see if others can rehabilitate the company.

“I hope Utusan will consider or maybe some other buyers will take over,” he told reporters at the Parliament lobby today.

Kulasegaran, who is Ipoh Barat MP, said he has not received any formal notification from Utusan on the shutdown and that they should inform his ministry if there were any retrenchment involved.

“We have not gotten a formal notification yet. I just saw the news online. Under the law, they should also tell us that they are going to retrench workers.”

He added retrenched workers can make representation to the employees insurance scheme that comes under the Social Security Organisation (Socso).

Under the scheme, they will be given some payment based on their salaries.

He said during the period, Socso will look for alternative employment for those retrenched.

In a statement, the ministry said its officers had spoken over the phone with Utusan executive director Abdul Aziz Sheikh Fadzir regarding the company’s decision.

“The ministry will follow up to take all necessary actions in accordance to the law with the interim liquidator hired by the company,” said the statement.

Utusan, formed in the late 1930s, will today shut down and terminate about 800 employees as the company could no longer shoulder its debts, estimated at between RM240 million and RM340 million. – October 9, 2019.


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