HRD ministry refutes allegations made by Nike

06 Aug '08

2 min read

Human Resource Ministry of Malaysia has refuted accusations made by Nike Inc, alleging ill-treatment of foreign factory workers at their supply factory in Kepong.

Nike Inc had said in a statement to the media that it had been monitoring the activities of the said factory and found that around 1,200 foreign workers were subjected to unacceptable living conditions,passports withheld and salaries cut to pay agency fees.

Dr S.Subramaniam from the ministry confidently brushed aside the allegations made by the sports brand on grounds that a thorough investigation of the Hytex Apparel factory reported no violation of labor laws.

During a press conference held on Tuesday, Mr Subramanium pointed out that, “salaries given to the foreign workers are broken down into basic pay, overtime and attendance allowances. A worker can earn between RM840 and RM1,500 a month depending on their seniority, performance and overtime. Further, employers can deduct RM100 monthly to pay for levy charges imposed by the Immigration Department for foreign workers in the production sector, which amounts to RM1,200 year per worker.”

Besides, the minister also clarified that an employer withholds passport of the worker for safety reasons and cannot be held up as committing an offence.

With regard to the living conditions, the ministry assured of conducting further investigations and also asserted that labor laws did not make it compulsory for foreign workers to receive accommodation but added that they be treated as equals to their local counterparts.

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