Venture Electronics (M) Sdn Bhd, an electronic services company operating in Bayan Lepas, Penang, has terminated 70 management staff, including senior managers, signaling more bad news to those working in the northern state at the moment.
Letters indicating the termination were disseminated to the affected employees, stating that their employment ceased on December 2008.
It also indicated that the employees involved in the lay off would be compensated according to the Malaysia Employment Act 1955.
The decision for the layoff come in the wake of turbulent economic condition and as the company is embattled with getting back to profitability.
An EMS (Electronic Manufacturing Services) company, Venture Electronics, which also belongs to the Venture Corporation Limited of Singapore, provides design, testing and manufacturing services to other clients, and has been operating in Butterworth since 1990s. Hewlett Packard (HP), Agilent Technologies, IBM and Intermec are some of their clients. Venture Electronics was formerly known as Iomega (M) Sdn Bhd.
An EMS or Electronic Manufacturing Services company is a type of company that undertakes the outsourcing job to produce, manufacture and distribute the products on behalf of another company, allowing its customer to focus on its core competencies and business.
Apart from Penang, the Venture group operates its factories in Johor (Malaysia), China, United States and Europe. For some of the employees affected with the retrenchment, the timing of the layoff could have not been worse as some of their children are starting new school term in the next few weeks.