Govt to further probe forced labour claim against Dyson supplier ATA - Saravanan
The government will charge Dyson supplier ATA IMS Bhd following complaints received by the Labour Department, Human Resources Minister M Saravanan said after forced labour allegations emerged against the manufacturer.
Dyson told Reuters last week it was cutting ties with ATA in six months following an audit of the local company's labour practices and allegations by a whistleblower...
The Human Resources Ministry will conduct further investigations into allegations of forced labour at ATA IMS Berhad, which is a supplier for home appliance maker Dyson.
Its minister M Saravanan (above) said the ministry received information that the recent decision by Dyson to cut ties with ATA was based on a mutual agreement related to ATA's ability to meet Dyson's demand.
"Dyson Ltd from the United Kingdom was said to have ended its contract with ATA following recent audit findings related to forced labour.
"In this matter, the ministry received information that the termination of the contract was done based on a mutual understanding between ATA and Dyson.
"The termination was due to ATA's lack of human resources to meet Dyson's demand for products, components and appliances," he said in a statement today.
"I have also ordered the ministry to conduct further investigation, and so far, there has been no action taken against ATA regarding this issue (forced labour)," Saravanan added.
Earlier today, Malaysiakini carried an article by Reuters stating that the ministry was going to press charges against ATA after it failed to pay a compound, which the ministry had issued to ATA following complaints it received against the company.
Saravanan reportedly told Parliament yesterday that his ministry, through the Labour Department, had taken action and opened investigation papers into ATA previously after receiving complaints.
"We had given them a compound notice but it has yet to be paid, therefore we will charge them in court," he said in Parliament yesterday.
Compound issued for separate matter
However, a ministry spokesperson clarified to Malaysiakini today that Saravanan was speaking about another allegation against ATA, which was unrelated to the forced labour issue.
"What the minister told Parliament yesterday was about another offence (by ATA) which the company has yet to pay for the compound issued against it.
"It was not related to the forced labour issue, which is still under investigation."
According to Reuters, Dyson had told the agency last week that it was cutting ties with ATA in six months following an audit of the local company's labour practices and allegations by a whistleblower.
ATA, which gets 80 percent of its revenue from the home appliance maker, reiterated this week it took the accusations seriously and that findings from a labour audit were inconclusive. It has previously denied the forced labour allegations.
