Govt must acknowledge severity of private commercial outlet closures, says MCA

MCA has called for the government to acknowledge the severity of the closures of private commercial outlets as a result of public boycotts, saying that Putrajaya has not responded or shared information on the affected employees and some basic calculations are warranted.

MCA Youth committee member Ling Jin Shean was responding to news reports that QSR Brands, which owns and operates the KFC fast-food franchise in Malaysia, has temporarily suspended 108 outlets nationwide as of April 27.

This is following an ongoing pro-Palestine boycott of US-affiliated businesses fueled by the ongoing conflict in Gaza, affecting brands such as Starbucks, McDonalds and KFC.

“Based on media reports, the number of KFC outlets that have shut down in Malaysia has now reached 108. Assuming each outlet employs an average of 12 staff members on a rotational basis, the number of affected employees has already surpassed 1,296,” Ling said in a statement.

“These figures exclude their families who as a consequence, would be affected when a breadwinner loses their job.

“If each employee has a single child, the total number of affected individuals would rise to 2,592. This estimate is conservative, and the actual number of impacted individuals is likely higher.”

Ling, who is also the MCA Perak Special Task Committee chairman, said considering that other well-known brands are similarly influenced by these boycott activities, the cumulative number of affected individuals would easily have exceeded tens of thousands in Malaysia.

“The repercussions of these boycott actions have permeated in various sectors and cannot be ignored,” he remarked.

“Additionally, given the current high cost of living and economic hardships in our nation, sudden job losses and income instability could set off a series of cascading effects.

“The urgency for the government to make a decision cannot be stressed enough – whether to continue remaining silent or to promptly take effective action by disclosing data and offering assistance to those affected.”

Ling stressed that it is crucial that a dedicated task force be established to address the crisis to ensure that the rights of those affected are protected.

“Transparent communication and a clear action plan are essential to effectively manage the repercussions of the boycott activities,” he stated.

“By engaging with the senior management of the affected companies, potential solution and support can be explored to mitigate the impact on employees and their families.”

HE said in times of crisis, it is essential for the government, private sector and the public to come together to address the challenges at hand.

“Proactive measures from the government, coupled with support and cooperation from the public, are crucial in ensuring economic stability and social harmony,” he added.

According to the QSR website, there are more than 600 KFC outlets in Malaysia.

QSR also operates KFC restaurants in Singapore, Brunei and Cambodia, as well as more than 480 Pizza Hut stores in Malaysia and Singapore.

Kelantan is the worst-hit with nearly 80% or up to 21 outlets, halting their operations, followed by 15 outlets in Johor, according to a Nanyang Siang Pau report.

Meanwhile, Selangor has 11 branches temporarily closed, 10 of which are located in Malay-majority Shah Alam. – May 1, 2024

 

Main pic credit: CNA

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