Govt steps in to support 541 Panasonic workers facing retrenchment

PUTRAJAYA, Aug 10 — The Ministry of Human Resources (Kesuma) is stepping in to assist 541 Panasonic AVC Networks Kuala Lumpur Malaysia Sdn Bhd workers who are set to be retrenched, aiming to prevent prolonged unemployment. Minister R. Ramanan highlighted the "from job loss to new job" strategy, implementing it through a partnership between JTKSM, PTJ, and Perkeso.

Kesuma pledges support to protect employees' welfare and career continuity during this transition. On July 23 and 27, JTKSM's Subang Jaya Labour Office received the PK Form from Panasonic, initiating an investigation that confirmed 541 employees - including 415 locals and 126 foreigners - are affected. The retrenchment will occur in two phases, October 31, 2026, and March 31, 2027.

Panasonic has promised to cover the employees' payments, totaling RM64.38 million, encompassing wages, notice pay, annual leave pay, and termination benefits. Kesuma, Perkeso, and PTJ will collaborate with Panasonic to coordinate employee protection, benefit eligibility, and job placement actions. Assistance includes advisory services, SIP benefit applications, career counseling, job matching via MYFutureJobs, and interview programs with potential employers.

Employees needing skill adjustments will receive reskilling and upskilling training to aid their job search. Kesuma will also monitor the retrenchment process and benefit payments to ensure compliance with legal provisions.