Kawaguchi served letter of demand over close to RM3mil in unpaid wages

Kawaguchi served letter of demand over close to RM3mil in unpaid wages

Lawyers for 249 former workers of the plastic component supplier warn of court action if overdue payments are not settled by July 21.

Foreign workers protesting Kawaguchi
Workers of plastic component supplier Kawaguchi Manufacturing protesting at the company’s factory in Port Klang in December last year.
PETALING JAYA:
A plastic component supplier has been served a letter of demand over nearly RM3 million in unpaid wages allegedly owed to 249 former workers.

Lawyers from Louis Liaw Chambers said Kawaguchi Manufacturing Sdn Bhd, now known as Alpha Integral Sdn Bhd, failed to comply with labour court-sanctioned settlements signed in December 2024.

The agreement was reached after the former workers staged a peaceful protest at the company’s factory in Port Klang.

Under the agreement, the company was supposed to pay the workers in nine instalments, starting on Jan 15, with the rest due monthly until November 2025.

The company made the first payment but missed four payments due in April, May, June and July, the lawyers alleged.

“In particular, you have failed, refused, and/or neglected to pay our clients the required instalment payments that were due on April 15, May 15, June 15 and July 15, as per the settlement agreement and labour court order,” read the letter sighted by FMT.

The company has until July 21 to settle the overdue payments, failing which the lawyers said they may pursue legal options, including converting the labour court awards into court judgments, enforcement actions such as winding-up proceedings, and imposing interest charges of 8% annually.

The lawyers also warned that the company’s directors and managers could face personal fines under the Employment Act for failing to comply with the labour court’s order.

They added that changing the company’s name from Kawaguchi to Alpha Integral does not remove its legal obligations.

Alpha Integral did not immediately respond to FMT’s request for comment.

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