Labour Dept to assist Kawaguchi workers in securing new jobs, firm agrees to settle over RM3m backdated pay
Kawaguchi Manufacturing Sdn Bhd, a plastic component supplier for Japanese electronics giants Sony, Panasonic, and Daikin, accused of forced labour practices, has agreed to pay up to RM3 million in backdated wages owed to 251 Bangladeshi workers.
An agreement was reached to settle outstanding salaries after months of negotiations with the workers. During mediation yesterday, Kawaguchi representatives reportedly agreed to pay the wages by January next year.
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The agreement was formalised when both parties consented to several conditions outlined in a memorandum of understanding signed by all 251 workers. The workers also agreed to accept a total of over RM3 million in backdated wages...
Responding to the settlement news, Hall called the outcome “offensive” and insufficient, given the gravity of Kawaguchi’s actions.
“This settlement is as offensive as it is inadequate for these victims of modern slavery. Will the company ever pay? This is not a success. It’s just a formality,” he said in a text message to Malay Mail.
Hall claimed that the workers would have to wait until January 15, 2025, for the payment process to begin, and until November 15, 2025, for the full payment to be completed.
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