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Kesuma rolls out early support measures for 541 Panasonic workers facing retrenchment

Affected employees to receive income protection, job matching and skills training as government seeks to ease transition into new employment

6:10 PM MYT

 

KUALA LUMPUR – The Human Resources Ministry (Kesuma) is implementing early intervention measures to support 541 employees of Panasonic AVC Networks Kuala Lumpur Malaysia Sdn Bhd who are facing retrenchment, with assistance including income protection, job matching and skills training.

Human Resources Minister Datuk Seri R. Ramanan said the “from job loss to new job” approach is being carried out through collaboration between the Department of Labour Peninsular Malaysia (JTKSM) and the Social Security Organisation (Socso) to safeguard the welfare of affected workers and ensure they receive support throughout their transition into new employment, Bernama reported.

“KESUMA will ensure that employees affected by job loss are given appropriate support and are not left to face this transition period without assistance. Through Perkeso, interventions will be mobilized as early as possible to help them obtain income protection and return to the job market,” he said in a statement today.

Ramanan said JTKSM, through the Subang Jaya Labour Office (PTK), received the Employee Retrenchment Notification Forms (PK Forms) from the company on July 23 and 27 before conducting an investigation on July 27.

The investigation found that 541 employees, comprising 415 local workers and 126 foreign workers, would be affected by the retrenchment exercise, which will be carried out in two phases on Oct 31, 2026 and March 31, 2027.

He said the company had committed to fulfilling all payments due to the affected employees, including wages, wages in lieu of notice, payment in lieu of annual leave and termination benefits, with the total amount estimated at RM64.38 million.

“As a follow-up action, Perkeso and JTKSM will hold further discussions with Panasonic tomorrow to coordinate actions regarding employee protection, benefit eligibility, and job placement interventions,” he said.

“Among the assistance to be provided includes advisory services and assistance for SIP [Employment Insurance System] benefit applications for eligible employees as temporary income support throughout the employment transition period,” he added.

Ramanan said Perkeso would begin profiling the affected employees to identify their individual needs before providing assistance through Employment Insurance System (SIP) benefit claims, career counselling, job matching via MYFutureJobs and interview programmes with employers that have vacancies.

He added that employees requiring skills adjustments would be offered reskilling and upskilling programmes to improve their chances of securing new employment.

Meanwhile, Ramanan said JTKSM would continue monitoring the retrenchment process and the payment of benefits to ensure compliance with legal requirements.

He said enforcement action would be taken if the company failed to fulfil its responsibilities towards the affected employees.

Panasonic Malaysia Sdn Bhd had previously announced the closure of production operations for two products, which would affect 400 employees by the end of March next year. – August 10, 2026

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