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Penang Turf Club accused of snubbing union in severance talks

Club Employees Union says historic venue failed to engage in negotiations over retrenchment benefits for laid-off workers

6:22 PM MYT

 

GEORGE TOWN – A group of members from the Club Employees Union of Peninsular Malaysia staged a peaceful protest outside the Penang Turf Club, here today, alleging that the club has refused to negotiate termination benefits for retrenched workers.

Union secretary-general Rudy Rusly claimed the club had failed to initiate discussions with affected employees — all of whom are union members — since announcing its closure on May 31.

He said the club’s actions go against the spirit and principles of joint negotiations as outlined in the Industrial Relations Act 1976, which gives workers the right to be represented by a trade union in matters concerning employment terms and termination.

“The union wishes to emphasise that any decision involving job termination must be negotiated with the union to ensure workers’ welfare is safeguarded and that fair and dignified compensation is properly discussed,” Rudy said in a statement.

“An employer cannot unilaterally make decisions that jeopardise the future of workers without engaging with their union.”

He added that the peaceful protest was held in accordance with the law, as a way for union members to express their dissatisfaction and demand justice.

“We urge the employer to return to the negotiating table and respect the workers’ right to union representation,” he said.

The 161-year-old turf club officially ceased operations on May 31, following its final horse race on the same day. The closure came after 318 out of 320 ordinary members voted in favour of shutting down the club on April 20.

As reported by Scoop, club general manager Leow Khin Ming said horse racing had seen a steep decline in recent years, citing dwindling public interest, illegal gambling, and the rise of online betting as key factors.

He said all 126 employees were being retrenched in phases, and claimed they were being compensated in accordance with the law.

“In fact, the club has been magnanimous, giving a little more than what is required statutorily,” he was quoted as saying.

The Penang Turf Club sits on approximately 81.7 hectares of prime land along Jalan Batu Gantung, reportedly valued at RM6 billion. — June 16, 2025

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