#Human Resources #Employer

First Employer Found Guilty Under Act 446 Fined RM20,000

Mohamad Danial bin Ab. Khalil
by Mohamad Danial bin Ab. Khalil
Mar 10, 2021 at 6:46 PM

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A food processing company was charged in the Sessions Court in Alor Setar for failing to provide suitable accommodation and hostel facilities to its 146 employees in January 2021.

The company, represented by its general manager, pleaded guilty when the interpreter read the two charges before Judge Sharifah Norazlita Syed Salim Idid.

Under the first charge, the company was charged with housing an Indonesian employee in a hostel that does not have the certificate of accommodation from the Manpower Department (JTK) director-general under Section 24D (1) of the Workers' Minimum Standards of Housing and Amenities Act 1990 (Act 446).

For the second charge, the same company was charged for failing to provide at least one bathroom and one toilet for 15 workers (1:15) to its 146 workers according to sub-section 3 (1) of the Workers' Minimum Standards of Housing and Amenities (Accommodation and Centralised Accommodation) Regulations 2020.


The latest amendments to Act 446 requires employers to provide adequate hostels and accommodation to their workers.

The company was found to have committed the offence in Pokok Sena at 10.30 am on January 13. The company is said to have provided only two hostel blocks to house approximately 150 workers at the dormitories behind the factory.

For both offences, the company was charged under Section 24D (3), which, if convicted, can result in a fine of not more than RM50,000.

Kedah Manpower Department (JTK) Prosecuting Officer Norulaskin Mustafa conducted the prosecution, and the company was unrepresented. In his appeal, the company's general manager asked the court not to impose a fine as they could use the money to upgrade the hostel and its facilities. 

However, Norulaskin asked the judge to impose an appropriate sentence as the company committed an offence when the country was facing the threat of infectious disease and as a lesson to other companies.

Sharifah Norazlita later sentenced the company to a fine of RM10,000 or five months in jail if they fail to pay for each charge against the company.

The company is the first employer in Malaysia to be found guilty under the Workers' Minimum Standards of Housing and Amenities Act 1990 (Act 446). The company representative later paid a fine of RM20,000.

 

Workers' Minimum Standards of Housing and Amenities Act 1990 (Act 446)

Companies that do not comply with the Workers' Minimum Standards of Housing and Amenities Act 1990's recent amendments (Act 446) could face a maximum fine of RM50,000.

Human Resources Minister Datuk Seri M Saravanan stated that worker housing placed either within or outside of construction sites must fulfil three primary aspects:

  • Safety
  • Cleanliness
  • Comfort

The employer must also provide enough space for the residents and comply with rules and regulations. If they do not comply with the standard operating procedures (SOPs) under Act 446, they could be fined up to RM50,000.

The SOPs include:

  1. Providing facilities for washing and sanitising hands
  2. Conducting cleanliness and disinfection practices in common areas.
  3. Avoiding group activities
  4. Ensuring social distancing of at least 1 metre between workers

Before the amendments, Act 446 only covered the mining and plantations sectors larger than 8.09ha. The amendment has extended the act to protect the worker's housing in all industries across Malaysia.

Source: The Sun Daily

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