Businesses in the country affected by economic downturn have paid-out about RM2 million as compensation to retrenched employees up to May this year, Human Resources Minister Fong Chan Onn said in Parliament today.

Fong said the Labour Department had carried out investigations and ensured that affected employers paid up the compensation to the workers.

He said his ministry, through the Labour Department, had received 957 complaints regarding errant employers who had not paid their employees.

"So far, 47 employers have paid-up an amount of RM2,143,109.55 to 607 employees," Fong added.

"We are now in the process of making sure that the rest pay up," he added.

Fong was responding to DAP MP for Nibong Tebal, Goh Kheng Huat, who asked the ministry to state whether it was aware that many complaints have been filed against employers who failed to pay compensation after a factory shutdown.

He also wanted to know if the ministry had taken any action to ensure errant employers pay up their dues to their workers.

Proper procedure

Fong said that employers who did not pay up would be subjected to legal action including court action, debtor's summons, writ of seizure and auctions.

"There are regulations to ensure employers comply with the law," he said.

"We have constantly urged companies to consider workers as very important assets and to explore other ways to deal with workers before retrenching them such as reducing work or overtime hours," he added.

He stressed that if there was no choice and workers had to be retrenched, proper procedures must be adhered to including payment of compensation to the affected workers.

Meanwhile, the International Trade and Industries parliamentary secretary told Parliament today that Malaysia will focus on the marketability of industrial products and development issues at the next World Trade Organisation (WTO) meeting.

Labour standardisation

"We will make sure the agenda will not take into account issues that will be detrimental to the country," said Fu Ah Kiow.

"We will continue to reject issues that do not relate to trade such as labour standardisation and environmental issues propagated by America and the European Union," he added.

Fu said Malaysia will continue to stress on flexibility where all liberalisation programs will be conducted aggressively in accordance with the country's ability.

He added that all regulations discussed at the WTO will take into account the needs of the government to continue with a development program to achieve the country's social-economic needs.

"We will continue to get input from the private sectors, non-governmental organisations and other interested parties and will ensure that local industries do not suffer due to WTO regulations," said Fu.

He also advised local companies to take opportunity of the liberal market situation within and outside the country.

Fu was responding to questions by Barisan Nasional MP for Batu, Ng Lip Yong and Tambun Ahmad Husni Mohd Hanadzlah on the steps taken by the government to ensure that a new round of talks at the WTO would not affect the country's development policies and local industries.