My question is : If a company is winding up due to poor business and losses, does the company concern have any obligation to compensate the employees according to the employment acts? If the employee in this case earning less than RM1500 per month. Does this obligation applies to the parent holding company if the excuse given that the says company is running out of fund. What can be done if the owner just close up the company without giving compensation.
Should that happen, the first thing you do is to report the matter to the Labour Office. Meanwhile, read up the Employment(Termination and Layoff Benefits)Regulations at http://www.pesaraonline.net/terminationbenefits.htm That will give all the info you need to know.
KL Siew has put up a sister site by the name of mylabourlaw.net, which is in effect a more user-friendly version of the present popular pesaraonline.net. The site is in the process of being fine-tuned but it is fully functional. You are invited to visit the website at http://www.mylabourlaw.net and give your views or suggestions. Queries can be posted and be responded from there as usual.