Putrajaya tells Utusan to pay salary arrears by end October

The Utusan headquarters in Kuala Lumpur October 9, 2019. Utusan Malaysia officially ceased operations on October 9 after struggling to stay afloat for months. — Picture by Hari Anggara
The Utusan headquarters in Kuala Lumpur October 9, 2019. Utusan Malaysia officially ceased operations on October 9 after struggling to stay afloat for months. — Picture by Hari Anggara

KUALA LUMPUR, Oct 23 ― The Human Resources Ministry issued a directive yesterday for Utusan Melayu Berhad to pay 815 of its workers their September and October salaries by month-end.

The Human Resources Ministry also instructed the company to pay in full compensation still owed to its workers who opted for a voluntary separation scheme (VSS).

“The company (UHY) had been asked to ensure that all affected workers received their compensation according to the Employment Act 1955," the HR Ministry said in a statement.

“The newspaper’s company, on the other hand, has been asked to submit the Employment Retrenchment Form and issue a notice of termination or pay the indemnity to its workers."

The decision was reached after UHY Advisory Sdn Bhd, the interim liquidator appointed by Utusan, and the Department of Labour in Peninsular (JTKSM) met the latter’s headquarters in Putrajaya on October 11.

Utusan Malaysia officially ceased operations on October 9 after struggling to stay afloat for months.

Utusan Malaysia began operating before the Malaysia’s independence in 1939.

It was first published as Utusan Melayu, using the jawi medium, before the current Romanised version began publication on September 1, 1967.

Utusan commenced its preliminary process of liquidation November 30 last year. It had attempted to sell off its assets to restore cash flow but to no avail.

This compelled the company to undertake a creditors’ voluntary liquidation through the appointment of UHY Advisory as the interim liquidator.

A briefing session would be conducted by UHY Advisory for Utusan employees at Dewan Besar Utusan at the company’s office in Jalan Chan Sow Lin at 3.30pm on October 30, the HR ministry said.

“The briefing is organised to discuss actions and efforts that would be taken to lessen the burden of the workers affected by the company’s liquidation.”

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