PUTTING shareholders’ interest first at the expense of workers who break their backs to bring profits only shines light to Top Glove Corp Bhd’s self-serving mentality.
“It boils down to a capitalist mindset. For them, as long as they are paying wages, allowances and cover their medical expenses, the company’s obligations towards them are done.
“Companies must have a profit-sharing mechanism to reward their workers, especially when they are making unprecedented profits,” Penang Malaysia Trades Union Congress (MTUC) secretary K Veeriah told FocusM.
Yesterday, Top Glove announced that it will be declaring a special dividend of 20% for the remaining financial quarters, for financial year ending Aug 31 this year.
The special dividend is on top of its existing dividend policy of a 50% payout ratio on profit after tax and minority interests (PATAMI).
Top Glove’s stocks tumbled at the start of the year, dipping to 62 or 10.13% — the second biggest single-day loss in the past 12 months yesterday.
Veeriah reminded the glove maker that its employees have contributed their blood, sweat and tears to the company, leading the former to enjoy stratospheric profits.
He also said workers did their part for the company despite threats of the COVID-19 pandemic.
“And the fact remains that the Teratai cluster, and an unfortunate death, was attributed to the company,” he added.
The MTUC leader also said he was found its repulsive that passive investors are enjoying a hefty 70% windfall, by taking a “piggyback ride” on the toil of workers.
“I wonder if they have any sense of moral value by not sharing profits with their employees. I urge Top Glove and its shareholders to recognise the immense contribution made by its workers,” he said.
Veeriah added: “We wish to emphasise that our call is not limited to Top Glove per se but all other employers in whatever sectors they operate.
“And please don’t use COVID-19 as an excuse to abandon bonus payments and salary increments to your employees.” – Jan 5, 2021.
