More bad news.
This time it’s Panasonic, which is reportedly shutting three plants in Asia. Media reports suggest the company is likely to report an annual net loss of some US$1.1 billion on the back of restructuring charges, a slump in demand for consumer electronics and a stronger yen. That would be its first net loss in six years.
The plants targeted for closure include two of the three Panasonic plants in Malaysia.
The Malacca plant, which produces capacitors for mobile phones, reportedly will be shut in March. Some 500 jobs will be lost.
Panasonic’s two electronics plants in Selangor will be “merged” into one by September. This move will reportedly not result in job losses. It remains to be seen if the company will use “redeployment”.
The government must ensure that all workers who lose their jobs are properly compensated.
When is it going to set up a National Retrenchment Fund?