GEORGE TOWN, Sept 29 ― Companies closing down and opening up is a normal phase of the manufacturing industry and it does not reflect the employment climate in Penang, general manager of the state’s investment arm Loo Lee Lian said today.
The InvestPenang officer sought to allay fears more factory workers may be laid off following TS Solartech Sdn Bhd’s recent move to retrench 180 staff on short notice.
“We were informed that the difficult decision to release the staff was due to redundancy caused by unmet business forecast.
“The affected staff were also offered alternative employment in another factory of the group,” she said in a statement.
She said the 180 retrenched were operation staff recently hired on contract out of 400 hired during the same period and that they were on probation employment.
She noted that research group, IHS, has reported that module shipments would exceed 2015 by 10 per cent with revenue hitting US$41.9 billion (RM172.8 billion).
“Two other major solar cells and modules manufacturers in Penang are not only unaffected but are actually in expansion mode and this expansion by a solar company will be announced soon,” she said.
She said InvestPenang will continue to focus on job creations by attracting new investments and re-investments.
Loo believed that retrenchments and new hirings will happen due to technological advances and changing market conditions, but that the net effect will still be positive this year in terms of job opportunities in Penang.
“New job opportunities are still being created in the manufacturing or industry sector as well as the growing global business services sector in Penang,” she insisted.
Meanwhile, Loo said those affected by job displacements can contact the Penang Career Assistance and Talent Centre at www.penangcatcenre.my for assistance to find new job opportunities.
She claimed Penang still requires more workers, at least 20,000, in line with Penang recording one of the lowest unemployment rate in the country of 1.5 per cent.
