By : DR SYED HUSIN ALI

Perwaja Steel Sdn Bhd has issued Voluntary Retirement Scheme (VRS) to over 2000 of its workers in the Kemaman and Gurun. The scheme will automatically be withdrawn if, by the deadline on 7th March, less than 60 percent of the employees accept the offer, in which case they will be faced with retrenchment.

Actually, the VRS is only a cover for retrenchment. Whatever the Perwaja employers may say, the issuing of the VRS to the employers and their likely retrenchment is most cruel. It is more inhuman because it happens just before the Hari Raya Haji.

The benefits are to be paid by 21st March. It appears to be no coincidence that the two plants are to cease operations temporarily for a month until the same date. Of course, there is no better idea to act against the workers than when they are not working.

Perwaja executives have explained that the month long closure and the impending retrenchment are necessary in order to restructure its business organisation. It is well known that Perwaja is now facing a lot of problems. This is not new, because the major root of the troubles arose from the days when the corporation began to be mismanaged under Tan Sri Eric Chia.

Just to remind, under his stewardship Perwaja, among many other things:

„h suffered an accumulated loss of RM2.985 billion;
„h incurred bank loans amounting to about RM7 billion;
„h awarded contracts valued at RM975 million to companies linked with Datuk Koh Mah Shoon and Nig Kim Lin, and paid RM76.4 million to NKK Corporation through Frisham Enterprise in Hongkong, which apparently does not exist.

Since about five years ago, PRM has complained about these Perwaja scandals though memorandums, distribution of pamphlets and complaints to the Anti-Corruption Agency. In 2000, several years after the scandals were exposed, the then Director of ACA, Datuk Mohd Zaki Hussein, announced that the ACA had finally made breakthrough in its investigations. Not long after, he was transferred elsewhere and a police officer was appointed to replace him.

Perwaja is quick and firm in taking actions against the workers, purportedly to save the company. But why do the authorities i.e. the ACA and the government, appear to be so reluctant to act against Eric Chia? MAS has now taken action against Tan Sri Tajuddin Ramli, perhaps finding courage because his patron is no more Finance Minister. Is it true the authorities are dragging their feet against Eric Chia because none other than the Prime Minister is protecting him?

While Perwaja is in the brink of bankruptcy, Eric Chia is living in luxury and opulence in his many palaces in Petaling Jaya. Meanwhile, the workers have been chosen to be victimised, as unannounced scapegoats.