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James
30/12/2009 15:54:42
Re: Transferred, Resigned & Contractual

I've been working for this company since 1990 & all went well. In 2005 company transferred all staff to another company with same salary structure & benefits. End of 2009, management ask all the staff to resign because of company has cashflow problem and lot of debts and cannot sustain to pay salary. If staff doesn't want to resign they can maintain with existing company but not guarantee for salary. If resign, staff will be offer to join a new company with same salary but contract term renew annually. Questions:

1- Is the first company transferred valid? Because I heard that transferring staff to another company only valid if it's the same shareholder.
2- The new company that will offer contract basis to us will not deduct/contribute to EPF & SOCSO. Plus they will not issue any monthly payslip. Is this legal?
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KL Siew
pesaraonline@gmail.com
30/12/2009 16:41:11
I strongly advise you to consult the Labour Department or the Industrial Relations Department. They may be able to get the parties together to discuss the matters in greater details.
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