With the gradual cessation of the clustered epidemic in the Top Glove factory of the world's largest rubber glove manufacturer, the Malaysian government has agreed to restart some of the closed factories, but the company still has a bunch of problems waiting to be resolved. Affected by the vaccine news, Top Glove fell 8.70% as of Monday's close.
Malaysian Defense Minister Ismail Sabri Yaakob issued a statement on Monday, stating that among the 28 Top Glove factories that were ordered to be shut down by the government after the outbreak in November, 14 factories where all employees have completed testing and the facilities have been disinfected have been approved to restart, and the remaining factories will be batched open.
But for Top Glove, the various problems exposed after the outbreak, including inadequate epidemic prevention and control measures, poor staff accommodation and production environments, will have a continuous negative impact on the company.
In the past weekend, the media reported that Top Glove fired a Nepalese employee in September this year because he took two photos of employees waiting for the night shift busily waiting for temperature measurement, showing that the factory did not comply with the epidemic prevention of social distance. Claim. Worse still is the staff dormitory. Earlier this month, the Malaysian Ministry of Labor stated that it would sue the company for "extremely crowded and poorly ventilated".
The Ministry of Health of Malaysia has previously stated that more than 5,000 workers living in Top Glove’s factories and dormitories in Klang have been diagnosed with the infection, 94% of whom are foreigners. On Monday, the company confirmed that a 29-year-old Nepalese worker died of Covid-19 last weekend.
According to statistics, Top Glove currently operates 47 factories, 41 of which are in Malaysia, employing a total of 16,000 workers, half of which are in Klang, and most of them are foreign workers from Nepal and Bangladesh. In the financial report released last week, the company stated that in the past two months, it had spent a total of US$5 million on buying or leasing housing for employees, and set aside US$25 million for investment in workers’ facilities and accommodation.
According to the company's annual report as of August this year, a total of US$470 million in profit was made in the previous fiscal year, which is more than five times the same period last year. What is even more amazing is that the net profit during the reporting period from September to November this year reached a record 2.38 billion ringgit (approximately 585 million US dollars), an increase of about 2030% from 111 million ringgit in the same period last year.