Hot Stock Top Glove rises 2.26% on plans to cut foreign work force

by **Cals** Thu 04 Feb 2016, 07:56

Hot Stock

[size=28]Top Glove rises 2.26% on plans to cut foreign work force

By Surin Murugiah / theedgemarkets.com | February 3, 2016 : 9:52 AM MYT

KUALA LUMPUR (Feb 3): Shares of Top Glove Corporation Bhd advanced 2.26% this morning after its executive chairman Tan Sri Lim Wee Chai yesterday said the glove maker will be cutting 5% of its foreign work force this year.

At 9.31am, Top Glove rose 13 sen to RM5.89 with 1.68 million shares traded.

The company currently has 6,000 to 7,000 foreign workers.

Lim also said the government's decision to raise the annual levy for each foreign worker is without proper communication with the private sector.

"Most of the companies or associations will complain as the government did not do things in a good manner," he told reporters after a private retirement scheme signing ceremony today.

He said the decision was made without consultation or any dialog with the industry.

The government has decided to raise the annual levy for each foreign worker here from RM1,250 to RM2,500. The levy rise starts on Monday (Feb 1).

Bernama quoted Zahid as saying the government's decision to restructure the levy rate system for foreign workers into two categories was expected to bring an extra income of RM2.5 billion to the country.

Zahid said the first category, which involved foreign workers in the manufacturing, construction and service sectors, would now see a levy of RM2,500 for each worker.

The second category involves the plantation and agriculture industries, where a levy of RM1,500 would be charged for each foreign employee.
[/size]