Panasonic Malaysia has refuted the claim that it is closing down the Shah Alam plant departments due to a case between the former CEO with suppliers who are seeking millions over work that were alleged to have not been completed.
In a Bursa filing, the electronics firm said the group had undertaken rationalisation exercise and business restructuring on 31 March 2023 in line with the closure of two product manufacturing departments at the Shah Alam 1 (SA1) plant only and that no other plants or departments other than the one stated are affected.
It said a nominal number of employees within the affected departments were provided with the option of a Mutual Separation Scheme (MSS), and a significant proportion of them voluntarily opted for this opportunity. And that during the rationalisation exercise, those employees who opted for the MSS have received fair and equitable compensation packages which are above industry norms. For the remaining number of employees who did not opt for the MSS, the Human Resources department has provided them with an offer to be transferred to other relevant departments within the company.
Panasonic also added that the lawsuits filed in 2016 and 2017, have been successfully resolved and that they are independent of and unrelated to the recent rationalisation exercise and business restructuring.
