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KDN NO: PP 16730/08/2012 (030376)

Mar/Apr 2013VOL 2/2013

Seminar onMinimum Retirement AgeImplementation

PUBLISHED BYFederation of Malaysian ManufacturersWisma FMM No. 3, Persiaran Dagang PJU 9Bandar Sri Damansara52200 Kuala LumpurTel: 03-62867200 Fax: 03-62741266/7288Email: [email protected]: www.fmm.org.my

FMM has eight branches andtwo representative offices located inKedah, Penang, Perak, Selangor,Negeri Sembilan, Malacca, Johor,Eastern, Sabah and Sarawak.

Any material extracted fromBusiness in Action @ FMM to bequoted or reprinted should containan acknowledgement to FMM or itsacknowledged sources.

Editorial

ADVISORDr Yeoh Oon TeanChief Executive Officer

EDITORIAL TEAMMadeline LohGeneral Manager (Trade)

Ng Lee LeeSenior Manager,International Business Division

Florance S. GabrielAssistant Manager,Communications and Publications Unit

Kenny LeeMarketing Unit (+6012-383 3857)

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FEDERATION OFMALAYSIANMANUFACTURERS

Contents

02 BIA@FMM | Mar − Apr 2013

Special Feature

03 Seminar on MinimumRetirement AgeImplementation

04 FMM Rising Star of the Year −Spirit Aerosystems MalaysiaSdn Bhd

05 FMM Objects to ProposedBlock Exemption for LinerShipping Agreements

News Highlights

07 Seminar on Complying withStrategic Trade Act

07 Access Business Opportunitiesin East Asia through theEABEX Portal

15 Manufacturers Support 2016Deadline to Make English aMust-Pass Subject in PublicExaminations

Manufacturers Unhappy withPoor Implementation ofMinimum Wage – NOT withMinimum Wage Policy

Trade & Policy

09 Free Customs AdvisoryServices For FMM

Market Alerts

12 Thailand LED Lighting Marketon the Rise

16 Events in Pictures

Happenings at Branches

20 Perlis/Kedah

21 Selangor

22 Perak/Sabah

23 Penang

24 Johor/Negeri Sembilan

25 Malacca

26 Sarawak

Mar − Apr 2013 | BIA@FMM 03

Special Feature

Further to FMM Advisory dated January 15, 2013on the “Guidelines on Minimum Retirement AgeImplementation”, the following are important

highlights from the FMM seminar on the MinimumRetirement Age Act 2012 held on February 20, 2013:

1. Applications to extend the implementation date fromJuly 1, 2013 to December 31, 2013 would bevetted by an Application Evaluation Committee,which is tripartite in composition and chaired by arepresentative of the Government. The Committeewould submit its recommendation to YB Minister ofHuman Resources.

2. Applications are to be submitted to the Ministry ofHuman Resources (MOHR) not later than April 30,2013 with the following:

• Corporate information issued by the CompaniesCommission of Malaysia

• Total number of local employees as at December31, 2013

• List of employees with their IC numbers whowould be attaining age 55 between July 1, 2013until December 31, 2013; and those attainingage 55 between January 1, 2014 untilDecember 31, 2014

• Any other relevant information such as cost factorespecially for those with succession plansalready in progress.

3. MOHR needs to discuss further internally theSchedule in the Act, which specifies the categoriesof workers exempted. It is unclear whether all thosewho have retired before July 1, 2013 but have beenre-employed on contract basis, whether by thesame employer or under a new employer, areexempted.

4. MOHR views the extension of an existing contractas continuation of previous employment andtherefore deemed as a permanent employee fallingwithin the scope of the Act. This interpretation is inline with international law precedent.

A fresh contract would need to have the mutualunderstanding of the employer and employee that thecontract would be reviewed upon expiry withoutcertainty of continued employment.

5. MOHR had not defined “probation” or set a time limitbecause the probation period differs betweencompanies and jobs.

6. Regulations would be drawn up on the DirectorGeneral’s inquiry process under Subsection 8(4) ofthe Act to determine whether there is prima facieevidence of premature retirement by an employer.SKRINE emphasised that the Director General’sinquiry is only to determine two issues:

• To confirm an employee has not attained age 60;and

• Whether the employee has been retired becauseof age factor.

7. The EPF would continue to push the Government tosynchronise full withdrawals of retirement savingswith the minimum retirement age of 60. Anannouncement would be made nearer to the July 1,2013 implementation date to raise the statutorycontribution for those aged 55 and above to the fullrate instead of currently, at half the rate.

8. SOCSO has already amended the age limits underthe invalidity pension scheme with effect fromJanuary 1, 2013.

9. The Inland Revenue Board confirmed that onlypension or gratuity payments received after age 55would not be taxable. Only the highest valuepension is tax exempt if there is more than onepension received. Employers should state thepension and gratuity payments in their contract ofservice to be eligible for tax deductions. Otherwise,the payments are deemed as personal contributionsand not deductible for corporate tax purposes.

10.SKRINE emphasised that under Section 6 OptionalRetirement, the law requires that the optionalretirement age:

• MUST be mutually agreed between employerand employee; and

• MUST be stated in the contract of service orcollective agreement.

For enquiries kindly contact Sofinar Abdul Halim/HemaThiruchelvam, Business Environment Division of FMM attel: 03-6286 7200, fax: 03-6274 1266/ 7288 or e-mailat: [email protected].

Seminar on Minimum Retirement AgeImplementation

Special Feature


Spirit AeroSystems Malaysia Sdn Bhd is located on a 75-acre site adjacent to the runway at Subang Airport nearKuala Lumpur. The 242,000-square-foot facility was

operational since early 2009. The facility acts as a hub in the Asia-Pacific region to strengthen existing supplier relationships whilealso developing the global manufacturing capability for Spirit.

The facility is aligned to provide a variety of manufacturing,engineering, and support functions. Initial products include anumber of composite subassemblies, principally on Airbussingle-aisle aircraft. The operation is also providing designsupport for the A350 XWB leading edge lower panels.

Spirit AeroSystems’services include the A320 composite wingcomponent subassemblies and the design work for LeadingEdge Lower Panels for the new Airbus A350 XWB aircraft.

What are your thoughts on winning the award?

Spirit Malaysia was delighted to be shortlisted and more so veryhappy to have won this award. As a manufacturer, it is anhonour to be associated and recognized by FMM that we areamongst the top players in Malaysia.

How important is the winning of this award for SpiritAeroSystems?

We have many international aerospace certifications such asAS9100, ISO and customer’s approvals from Airbus andBoeing. However, this is our first public award in recognition ofour overall business operational excellence in four years ofoperation. We consider this as a benchmark of success of ourbusiness performance not only in the aerospace industry butalso to other non-aerospace industries in Malaysia. FMM hasset a very high standard and the process to win this award hasnot been an easy task. Most importantly the trophy serves as areminder that we need to continue and sustain ourperformance in the future years to come.

What is the single most important factor that has contributed toyour success in winning the award?

Our People. Our people have truly embraced the Spirit’s CoreValues of doing business. Spirit Malaysia’s success comesfrom none other than strong leadership, exceptional managersand followers and excellent Team Work in striving for businessoperational excellence.

FMM Rising Star of the Year -Spirit Aerosystems Malaysia Sdn Bhd

Francis Hiew (far right), Managing Director of Spirit Aerosystems Malaysia Sdn Bhd receiving the award from Datuk Dr Rebecca Fatima Sta Maria, Secretary General of MITI whileFMM President, Tan Sri Datuk Yong Poh Kon looks on

>>> Continue on page 5

FMMhad on March 28, 2013 submitted a paper to theMalaysian Competition Commission (MyCC) to

highlight its concerns and objections to the proposed grants ofblock exemption (PBE) liner shipping agreements under theCompetition Act 2010. The Malaysia Shipowners Association,Shipping Association of Malaysia and the Federation ofMalaysia Port Operators Councils had on December 16, 2010applied for a block exemption for liner shipping agreementsunder the Act.

In the paper to MyCC, FMM highlighted that PBE should not begranted exemption in its proposed form for the followingreasons:

• The assessment by MyCC as expressed in the PBEdoes not disclose proper grounds for exemption underthe Act;

• In particular, the assessment does not provide sufficientarguments to support the grounds required forexemption under Section 5 of the Act;

• There is insufficient explanation in the PBE by what ismeant by “Vessel Sharing Agreements” (VSAs) and“Voluntary Discussion Agreements” (VDAs) and this maylead to the PBE allowing anti-competitive practices whichwere not intended by MyCC;

• Using the traditional or often adopted meaning of VSAs,FMM is of the view that such agreements by nature donot have anti-competitive elements such as rate-fixing ormarket sharing and are therefore permissible to thatextent and do not require any exemption; and

• Using the traditional or often adopted meaning of VDAs,FMM is of the view that such agreements by nature haveanti-competitive elements such as rate-fixing or marketsharing and therefore should not be granted exemptionsince the grounds for exemption under Section 5 underthe Act have not been proven.

FMM Objects to ProposedBlock Exemption for LinerShipping Agreements


What has been the biggest challenge faced by SpiritAeroSystems and how have you managed to overcome it?

Our People. Spirit has 75 years of technology and know-how inbuilding aerostructures. However, to transfer such knowledgeinto a company of four years in operation will require willingnessof the people to learn and receive, to embrace change, todream and create, to be accountable and responsible, to makemistakes and to prevent the same mistakes, and mostimportantly to stay on with the company to achieve ourcommon Vision and Mission. Although Spirit Malaysia has lostemployees due to attrition, we have alsomanaged to retain many staff who matter mostto the company. We do believe that our successwill attract a lot more future employees to join ourjourney.

What are the driving principles and practices thathave made you a model of quality andexcellence?

Our Spirit’s Core Values.

• Customer Focus − exceed theirexpectation, and collaborative.

• Progressive − create a learning cultureand continuous improvement.

• Performance Excellence − measure and manage inputs,ensure desirable outputs; apply Lean enterprisepractices, factual and unbiased decision, and ABCD(above and beyond call of duty).

• Respect for All − be open, treat others with respect andsupport diversity.

• Integrity − honesty, good governance and accountability.

Spirit Aerosystems Malaysia Sdn Bhd staff posing for a group photograph after winning the award

>>> Continued from page 4

News Highlights

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Seminar on Complyingwith Strategic Trade Act

At the above seminar organised onJanuary 30, 2013, MohamedShahabar Abdul Kareem, Strategic

Trade Controller and his team fromMinistry of International Trade and Industry

shared the common mistakes made bycompanies when applying for the permitand briefed the participants on the InternalCompliance Programme (ICP).

Tan Siew Muai from Infineon TechnologiesSdn Bhd (Kulim’s Office), was also invitedto share her company’s experience on ICPwith the participants at the Seminar.

A vital part of an ICP is the establishment ofmechanisms within the business thatprovide checks and safeguards at keystages in a secure supply chain, helping tobetter manage the overall control process.

The Seminar attracted a total of 32participants from 20 companies.

Mohamed Shahabar Abdul Kareem (middle), Strategic Trade Controller, MITI and his team attending to questionsfrom participants

Access Business Opportunities inEast Asia through the EABEX PortalFMMorganised a briefing on

the East Asia BusinessExchange (EABEX) Portal on February26, 2013. The Briefing was aimed atassisting members in utilising the portalto promote their products for free and toconnect with business partners from allover the world.

EABEX is a business matching portalwhich enables buyers to search forproducts and services fromauthenticated companies/suppliers thatare members of apex trade associationsin ASEAN, China, Japan and Republic ofKorea.

As FMM is the appointed apex chamberfor Malaysia, this initiative is only open toFMM members. Members will be able topromote their products for free on theportal and receive trade enquiries directlyvia this business matching portal. EABEX

also provides access to tariff duties ofproducts offered under the Free TradeAgreements.

A total of 32 companies registered for thePortal during the event which brings to atotal of 60 FMM members who haveregistered for the Portal.

Interested members may register for theEABEX Portal throughhttp://www.eabex.org/fmmregister.For enquiries, please contact MaygelahSiva from the Secretariat at tel 03-62867320 or fax: 03-62741266/7288 ore-mail: [email protected].

Damien Lim highlighting the benefits of the EABEX Portal to participants.


News Highlights

News Highlights


The Federation of Malaysian Manufacturers (FMM) fully supportsYAB Deputy Prime Minister’s recent announcement that Englishwould be made a compulsory pass subject in the Sijil PelajaranMalaysia (SPM) once teachers and students are ready.

The FMM Presidential Committee chaired by Tan Sri Datuk YongPoh Kon, which met on February 27, 2013 views theGovernment’s statement as most encouraging and a critical stepin the right direction.

As employers, manufacturers are very concerned over thedeclining level of English proficiency in the Malaysian workforce.English, being a tool of knowledge and medium of business andtechnical communication, contributes to their ability to competeglobally. It would also greatly assist in the nation’s progresstowards a high income economy.

To make this intention a reality, a definitive timeline should be setto make English a compulsory pass subject. FMM has proposedto the Government that English should be a compulsory must-pass subject in public examinations at all levels by 2018.

A definite timeline would ensure that the necessary resources andconcrete steps are undertaken within the next five years toimplement the policy. At the same time, students, especiallythose taking public examinations in 2018, would be betterprepared since language proficiency is acquired over time, andnot overnight. Most importantly, a definite timeline helps to ensurethat policy implementation stays firmly on course.

The above was released to the press on March 4, 2013

Make English a Compulsory PassSubject at All Levels by 2018

The manufacturing sector is not against the minimum wagepolicy. It is the poor implementation of the policy that iscreating a lot of unhappiness and uncertainties. Employershave not been given sufficient time, support and clearguidelines on implementation. Even now some of theguidelines are still unclear.

The Federation of Malaysian Manufacturers (FMM) would liketo correct the misperception arising from YB Datuk Seri IdrisJala’s article published in The Star on March 4, 2013 thatemployers are objecting to the minimum wage policy.

FMM wish to reiterate that this is not true. Employers areobjecting to the hasty implementation, knee-jerk changesto policies, and the lack of clear guidance, which havecreated problems, confusion and uncertainties forbusiness operations.

FMM is strongly of the view that implementation of theminimum wage policy would have been smoother if theNational Wages Consultative Council (NWCC) had givensufficient attention to and addressed employers’ concerns,as well as clarified details before implementation. Instead, thehasty implementation of the policy did not give companiessufficient time to adjust, thus harming businesses andindustrial relations, leading to higher costs and affectingcompetitiveness.

The NWCC should have set out fair and clear rules to befollowed by different categories of employers in differentregions of the country. Companies numbering in thehundreds of thousands should not be required to write inindividually for individual exemptions or to negotiate with theiremployees on many grey areas, which can only contributetowards an unnecessary worsening of the industrial relationsclimate in the country.

In this respect, FMM had recommended to the Governmentto allow automatic, across–the–board deductions of wagesfor levy and accommodation costs as well as approvals toSMIs to defer implementation for a year since the decisionto allow deductions is a Government policy and to removebureaucratic hassles for SMIs. Requiring employers tosubmit applications for approval has also deviated from theGovernment’s move towards self–regulation and doing awaywith prior approvals under the Employment Act.

Employers also expect to have a more representativeemployer participation in the NWCC. Major stakeholderslike the manufacturing sector must be represented by theFMM to provide representative and practical feedback fromthe industry.

There is great concern of a repeat of the haphazardimplementation for the minimum retirement age policyscheduled to take effect on July 1, 2013 which would affectsuccession planning, retirement and the corresponding rightto withdraw EPF monies.


Manufacturers Unhappy with PoorImplementation of Minimum Wage– NOT with Minimum Wage Policy

The manufacturing sector strongly supports the 2016 deadline tomake English a must-pass subject in public examinations asannounced by YAB Deputy Prime Minister on March 8, 2013.

The Federation of Malaysian Manufacturers (FMM) commendsthe Government for setting a deadline which is even faster thanFMM’s proposed 2018. This move by the Government hasprovided parents and students greater certainty and clarity on theGovernment’s policy on English.

Efforts in retraining of teachers as well as completing thenecessary facilities should now become more vigorous to ensurethat the Government’s aspiration is achieved. FMM is confidentthat as long as the Government is committed and stays firmly oncourse, the 2016 deadline is attainable.

FMM congratulates the Government for its urgency in expeditingefforts to improve English proficiency. Mastery of the Englishlanguage is well acknowledged as necessary in the acquisition ofknowledge and in attracting higher value-added investments,thus allowing the country to move quickly towards achieving ahigh-income knowledge economy.


Manufacturers Support 2016Deadline to Make English a Must-PassSubject in Public Examinations

FMM Press Releases

Trade & Policy


Free Customs AdvisoryServices For FMM Members

Do you have any issues related to Customs matters thatyou need assistance with? Do you require anyassistance in completing applications for Customs

related licenses and facilities? Do you have any unresolvedissues related to import duty exemption or sales taxcalculations? The Customs Advisory Service is now providedFREE, exclusively for FMM members.

A Senior Customs Officer from the Royal Malaysian CustomsDepartment, Choo Kim Foong is based in FMM as a CustomsAdvisor. The services of the Customs Advisor will be availablein FMM from 9.00 am to 1.00 pm every Tuesday. TheCustoms Advisor will assist members with the following:

• Provide advisory services and guidance on Customsrelated policies, procedures and requirements;

• Resolve operational related issues encountered at thecompany level; and

• Assist with applications for licenses and Customsfacilities.

Members are encouraged to have individual meetings on a‘one-on-one’ basis with the Customs Advisor at FMM toresolve specific issues pertaining to your company.

Common issues and common enquiries will be published inthis section for members’ information. Members interested inmeeting the Customs Advisor or have Customs issues to beaddressed are requested to contact Arasy at Tel: 03-62867356 or E-mail: [email protected].

How to apply for customs ruling

Q The Customs Department has implemented the HS 2012amendments. How do I convert my old tariff code to the HS2012 amendments?

The customs website: www.customs.gov.my have theinformation under Jadual Korelasi PDK 2007 – PDK 2012,Jadual Korelasi PDK 2012 – PDK 2007, Jadual Korelasi AHTN2007 – AHTN 2012 and Jadual Korelasi Eksais 2002 – Eksais2012.

Q Is there a standard procedure and list of documents thatwould be required by Customs Officers for Customs Audits?

The normal Customs Audits are carried out by the CompanyAudit Section (Cawangan Auditan Syarikat) and the Post AuditSection (Cawangan Pasca Import).

The function of CAS is to carry out audit on company/ licenceholders under the various Customs Acts and Procedures(perundangan dan peraturan perkastaman). The usual

books/records needed for the audit are sales invoice, salesbook, sales summary, general ledger, debtors/creditors ledger,cash bond, credit/debit notes, audited financial reports, officialrecord for payment received, contractual agreement andprogress report, electronic records and other related records.

The function of Pasca Import is to ensure that the correct taxhas been paid and ensure that the declaration done adheres tothe requirements of the related laws.

Audit is carried out on the importer/the person who declares,consignee for the imported goods, owner of the importedgoods, buyer (acquirer) of the imported goods, forwardingagents, transport agent, godown agents and otherpersons/companies who are directly or indirectly involved in theimported goods.

The books, records and documents required are divided intothree categories:

• documents and records related to the business – eg.sales and purchase agreement, commission contract,technical assistance contract, ordering letters (suratpesanan), processing instruction, manufacturing reportand others

• accounting books, records and other relateddocuments eg acounting books, letters of credit, bankstatements, request for overseas remittance,debit/credit notes

• documents relating to customs clearance eg CustomsK1 form, commercial invoice, packing list, certificate oforigin, bill of lading, insurance policies and others.

Market Alerts


Thailand LED LightingMarket on the Rise

The Thai Government continuesto encourage energy savingand it has plans to reduce the

energy consumption by 20% in2030. This has resulted in anincrease in the market for its light-emitting diode (LED) lighting.

Thailand’s current LED lighting marketis about USD27 million or 12% of theKingdom’s total lighting market share,with market demand anticipated toincrease further between 30% to 50%by 2015. The market tends to be

gradually rising as the income from themarket generating revenue of morethan USD10 billion in the recent years.

The Trade Commissioner of MalaysiaExternal Trade DevelopmentCorporation (MATRADE) Bangkok,Niqman Rafaee Mohd Sahar, said,“The Electricity Generating Authority of

Thailand stated that LED lighting isexpected to grow rapidly due toseveral governments’ supportivepolicies which promote the use ofenergy efficient and eco-friendlylighting technology. This indicates thatLED lighting markets has a greatpotential in Thailand.”

Thailand’s macroeconomics haveliterally been driven by the growth inelectronic components andappliances, particularly, the growingdemand of LED backlighting of

electronic appliances. In addition,being the hub for the automotivesector in the Region and the newtrend of car specifications thatrequires higher demand in LEDautomotive lighting, the market isanticipated to flourish. The number ofcars with LED headlights will growfrom 1.5 million in 2013 to 5 million in

2015 with the value of LEDcomponents growing from USD130 toUSD300 million.

“The Provincial Electricity Authority(PEA) is planning to replace one millionstreet lights nationwide with LEDbulbs. Other projects that require LEDlighting are the public and privateinfrastructure projects which includethe construction of a new stadium,parliament house, residential areas inthe city and provinces, commercialareas such as shopping malls,hospitality and entertainment projects.Malaysian companies should focus onthe demand for LED products formassive government projects inThailand as well as to seize thepotential growth demand of LEDlighting in the electrical, electronics,and automotive industry,” addedNiqman.

In 2012, Malaysia’s total trade withThailand grew 5.4 percent toRM74.01 billion with positive exportgrowth of 5.5 percent to RM37.71billion.

For more information on the prospectsof exporting LED products to Thailand,Malaysian companies can contactMATRADE office in Bangkok [email protected].

Source: MATRADE, February 11, 2013

LED lighting is expected to grow rapidlydue to several governments’ supportivepolicies which promote the use ofenergy efficient and eco-friendly lightingtechnology.


• Indonesia – Balikpapan – April 24 – 26, 2013

• Philippines – Manila – May 20 – 23, 2013

• Philippines – IFEX 2013, Manila – May 16 – 19, 2013

• Thailand – SUBCON Thailand, Bangkok – May 16 – 19, 2013

• Taiwan – Food Taipei 2013, Taipei – June 26−29, 2013

• South Africa – Africa Big 7 and SAITEX, Johannesburg – June 30 – July 2, 2013

• Indonesia – Interfood, Jakarta – August 28 – 31, 2013

• Myanmar – Build-Con Myanmar, Yangon – September 25 – 27, 2013

For further details, please contact Ida or Sandy of the FMM Secretariat at 03-62867200

• Cambodia & Vietnam – FMM Focus ASEAN Series: Cambodia & Vietnam – June 18, 2013

EXPORT SEMINAR

TRADE AND INVESTMENT MISSIONS

INTERNATIONAL TRADE FAIRS

FMM would like to extend its appreciationto Lee Cheng Suan for his valuablecontribution to FMM during his tenure asCEO of FMM. Since joining FMM in 1979,Mr Lee has actively contributed to thegrowth and development of FMM and itsrecognition as a credible organisation bothnationally and internationally. Lee is now theCEO of GS1 Malaysia having served asFMM’s CEO since 1999.

FMM welcomed Dr Yeoh Oon Tean, as itsnew Chief Executive Officer on March 18,2013.

Dr Yeoh joins FMM with 27 years of diversemanufacturing experience in both largemulti-national and SME environments. Healso has a passion for education andteaching. Prior to joining FMM, Dr Yeohwas the Managing Director of Cleanroom

Industries Sdn Bhd. He has also worked inIntel Technology Sdn Bhd and DynacraftIndustries Sdn Bhd. in the areas of ProcessEngineering, Materials, Facilities andMarketing.

Dr Yeoh holds a Doctor of BusinessAdministration from the University of SouthAustralia, an MBA, a Bachelor ofMechanical Engineering (Honours) and aDiploma in TESOL. Besides being a MIMCertified Professional Trainer, he is acertified EQ trainer and had served as anMBA tutor, thesis supervisor and nationalexamination marker for Wawasan OpenUniversity.

Dr Yeoh Oon Tean

Lee Cheng Suan

FMM EXPORT PROGRAMMES

New FMM CEO

Events in Pictures


Selangor Branch’s Visit to PKT Logistics’ Warehouse, December 7, 2012

Selangor Branch’s Networking Lunch with MonashUniversity Sunway Campus, January 29, 2013

Seminar on Minimum Retirement Age Act, February 20, 2013

Meeting with Peter Harrell, US Deputy Assistant for Counter Threat, Finance and Sanctions, January 31, 2013

Selangor Investors’ Appreciation Night 2012, February 16, 2013

Kedah/Perlis Branch’s meeting with Institut Latihan Belia Sejahtera,December 26, 2012

Seminar on Strategic Act, January 29, 2013Countering Frauds in International Trade − Current Challenges and Responses, February 26, 2013

Sarawak Representative Office’s Courtesy Call on Resident of Sibu, January 8, 2013

Events in Pictures


Assistance to Members

Selangor• Following complaints from FMM members in Bandar Sultan Sulaiman regarding poor road conditions, malfunctioning streetlights,

illegal stalls and poor drainage system, the Branch highlighted the issues to Majlis Perbandaran Klang (MPK) and a quickarrangement was made for a site visit to the reported area with MPK, Selangor State Investment Center (SSIC), MalaysianInvestment Development Authority (MIDA) Selangor and the Branch on January 21, 2013. MPK assured that the problem would beresolved and also briefed on the current and future plans to improve the infrastructure.

Penang

• Jabatan Kerja Raya (JKR) took remedial action after the Branch highlighted to the Department the problem of potholes at LorongPerusahaan 2, Prai Industrial Estate which had caused workers in this area to fall off their motorcycles.

• The Branch channeled the feedback received from a member company to the local council and JKR regarding uneven roadsurfaces along Jalan Besar, Valdor. JKR agreed carry out the maintenance work once they received the funds from JKRPersekutuan.

Johor

• The management of Kami Electronics Industry (M) Sdn Bhd located at Larkin, Johor Bahru raised concerns on the trees falling ontheir premises. On January 9, 2013, the Branch invited Tuan Hj Jalil Tasliman, Assistant Director of Planning Department, MajlisBandaraya Johor Bahru (MBJB) to visit to the company’s premises for a meeting and inspection. Within a week, MBJB had thetrees trimmed and cleaned up the wood debris inside the company’s premise.

• Instrument Technology (Johor) Sdn Bhd, located in Kawasan Perindustrian Tebrau IV, Johor Bahru complained to the Branch aboutthe many potholes at the industrial road leading to their company. The company requested the Branch’s assistance to address theproblem with Majlis Bandaraya Johor Bahru. Within a week, the road was repaired.

• The Branch assisted a member company in its application for e-PCO for an urgent shipment. After the Branch’s intervention,Dagang Net Technologies Sdn Bhd, resolved the problem for the Member within a day.

FMM deeply mourns the passing of Tan Sri Dato’ Wong Tok Chai on March 25, 2013. Tan Sri was one of thefounding members of FMM and had contributed significantly to the development and growth of the organisationwhen he held the following positions in FMM:

• FMM Vice President from (1969 to 1982)

• FMM Executive Committee from (1976-1983)

• FMM Council Member (1983-1984)

• FMM Working Committee (1969-1988)

a. Chairman of FMM Trade fair and Trade Mission (1969-1974)

b. Chairman of FMM Finance sub-committee and establishment ( 1975 )

c. Chairman of FMM Membership Service Committee (1976-1984)

d. Working Committee Member

• Finance Committee (1985)

• Membership Committee (1986-1988)

Tan Sri will be fondly remembered for his valuable contribution, dedicated service and strong support for FMM.

In Memory of the Late Tan Sri Dato’ Wong Tok Chai


For further details, please contact Kwai Kaun of the FMM Secretariat at 03-62867200

Made in Malaysia Warehouse SaleDate : October 4 − 6, 2013 (Friday − Sunday)Venue : Stadium Indera Mulia, Ipoh, Perak

Mark Your Calendar

A Private Sector Consultative Panel Meeting was held onDecember 27, 2012. Among the highlights of the meeting are:

• Customs Kedah collected RM1.06 billion revenue in 2012,mostly from automotive sector.

• Customs would focus on compliance in 2013, while ensuringthe accuracy of advice given by its officers.

• The implementation of minimum wage order may affect manycompanies in Kedah.

• The issue of low prices as declared by importers for productsfrom Thailand & China.

• Furniture companies were advised to review their declaredpricing which was done many years back. The existingdeclared prices are too low and not in line with the growth insuch industry.

Customs Kedah - Private Sector Consultative Panel Meeting

Group photograph after the Private Sector Consultative Panel Meeting

The meeting held on January 30, 2013 was chaired by LeeKhek Wui, Chairman of IPMC Kuala Ketil. Some of the highlightsof the meeting included:

• Industrial road damage − IPMC members highlighted theirdisappointment with lack of action to address longstandingissues even after numerous verbal and written complaints tothe Perbadanan Kemajuan Negeri Kedah (PKNK) and thestate government. The final complaint letter was sent onJanuary 8, 2013 by the Branch to the PKNK together with apetition carrying the signatures of more than 30 tenants. IPMC

Meeting with Southern CableSdn Bhd

Meeting with IPMC Kuala Ketil in progress

suggested a one-monthdeadline for PKNK to repairthe road as a short-termmeasure. MIDA would assistPKNK to apply for allocationof funds from the roadupgrading budget.

• Security issues − Ten casesof crime were reported in2012. Tenants were advisedto beef up in-house security,maintain/install CCTV,appoint supervisor/securityto check on foreign workers’hostel; etc.

The Branch held a meeting with the Kedah IndustrialSkills and Management Development Centre(KISMEC) on January 3, 2013. The meeting was todiscuss and explore possible training collaborationwith KISMEC, the State-funded training centre. Itwas agreed, among others, that FMM would utilisethe KISMEC facility to conduct technical training.

Meeting with Kedah IndustrialSkills and ManagementDevelopment Centre


Kedah / Perlis



Courtesy Calls by the Branch

Dato’ Soh Thian Lai (4th from left) presenting a souvenir to Head of Enforcement Division, Karimah Hussein after the visit to the Selangor State Immigration onFebruary 26, 2013

The Branch Committee led by its Chairman, Dato' Soh ThianLai, made courtesy calls on/visited the following:

• Syarikat Bekalan Air Selangor (SYABAS) headquarters onJanuary 22, 2013

• Director of MIDA Selangor, Zakiah Sajidan on 4 February2013

• The new Yang DiPertua Majlis Daerah Kuala Langat,Tuan Mohd Azhar bin Mohamed Ali on January 22, 2013

• Selangor State Immigration on February 26, 2013

Briefing by Dato’Nathan K Suppiah,

FMM Selangor Vice-Chairman & Chairman

of FMM SelangorMembership Working

Sub-Committee tonew members

New Members Networking Session

The Branch successfully organised the New MembersNetworking Session on February 21, 2013, led by its BranchCommittee Chairman Dato’ Soh Thian Lai, and Vice-Chairman &Chairman of FMM Selangor Membership Services WorkingSub-Committee Dato’ Nathan Suppiah who briefed on the role

and structure of the Branch, programmes and activitiesorganised by the Branch and services offered to members.Over 34 representatives from 24 companies attended thesession.

Selangor



Perak

The Branch held its inaugural FMM Biz Networking Dinner onDecember 5, 2012. The dinner was attended by CEOs andSenior Managers from member and non-member companiesas well as heads of government departments namely, MIDA,MITI, Invest Perak, SME Corp, Labour and Industrial Relations.The Branch Committee was also present to meet themembers and the government officials.

Members took the opportunity to network and discuss issuesand problems affecting their industries. Some of the issuesdiscussed were minimum wage, levy deduction, shortage oflabour and difficulties in recruiting foreign workers. Followingthe positive feedback received from those who attended thedinner, the Branch will be organising more of such networkingsessions in the near future.

Networking Dinner

Participants of the FMM Biz Networking Dinner held on Decamber 5, 2012

The Branch organised a Human Resource Workshop on Practical Aspects of Implementing Minimum Wage’ on January 8, 2013.The Workshop was facilitated by FMM HR/IR Advisor, Heng Poh Suan. He briefed the employers on the National Wage Council’sAct 2011 and the impact of the Minimum Wage Order. He also presented case studies and advised employers on how toaddress the problems faced in implementing the minimum wage.

Human Resource Workshop

Members enjoying the sumptuous Thai buffet

The Sabah RepresentativeOffice’s first Safety Conference“Making OSH A Culture at theWorkplace” was held on

December 11, 2012. TheConference was officiated bythe Director of Social SecurityOrganisation (SOCSO) Sabah,

Hajjah Mariam Haji Hassan.The invited speakers werefrom the Department ofOccupational Safety andHealth, SOCSO, HealthDepartment of Sabah,State Fire & RescueDepartment, Department ofRoad Safety Sabah, SabahElectricity Sdn Bhd (SESB)and Malaysian Mud andChemicals Sdn Bhd.

The Safety Conferencewas well attended byparticipants from variousprivate companies,government

agencies/departments andassociations as well aslocal journalists. TheConference was held toencourage and promotebetter safety and healthawareness and control atthe workplace, update theindustry with the latestlegislation, regulations andprocedures on industrialsafety and health and toprovide a platform fornetworking with keygovernment agencies andsafety community in theindustry.

Safety Conference

Participants who attended the Safety Conference on December 11, 2012

Sabah



Penang

The Department of Occupational Safety and Health (DOSH)Penang, SOCSO Malaysia and NIOSH Northern Regionorganised a seminar on Occupational Safety and Health (OSHA)Compliance and Workplace Safety on November 29, 2012.Topics related to OSHA compliance and workplace safety werediscussed. Toray Plastics (Malaysia) Sdn Berhad also sharedtheir hands-on experience in managing their Safety ManagementSystem in compliance with OSHA.

In his welcome address, Geh Cheng Hoe, Chairman of the ESHSub-Committee, highlighted that the Occupational Safety andHealth Master Plan 2015 provides the action framework tocomplement the current OSHA Act 1994 legislative framework.The objectives of the Master Plan are to reduce injuries,diseases and fatalities and ultimately improve efficiency,productivity and business performance, including throughincreasing awareness, knowledge and commitment tooccupational safety and health

OSHA Compliance and Workplace Safety

Participants listening attentively to Nazri Bin Ab. Kader, Assistant Director of DOSH Penang, during the presentation.

Participants who attended theBusiness Networking andBusiness Matching Session

The Branch organised Business Networking and Business Matching Session on November 27,2012. Participating member companies and potential member companies were given theopportunity to brief on their companies’ products during the networking session.

Business Networking and Business Matching Session



Johor

The Branch participated in the Johor Career & Postgraduate Expo 2013 held on January 12 − 13, 2013. The Expo was officiatedby YB M. Asojan a/l Munyandy, Chairman of State Unity, Human Resources, Science, Technology and Innovation Committee.

A total of 150 applications were received by the Branch at the above event.

Johor Career & Postgraduate Expo 2013

A cross border Business OpportunityNetworking Session (BON) withSingapore Manufacturers Federation(SMF) and the Branch was conductedon November 26, 2012. 22 delegatesattended the session which was led by

Lam Joon Khoi, Secretary General ofSMF after which a networking sessionwith the members took place. TheSession led to an immediate match forHarvest Link International and VSPTechnology (M) Sdn Bhd.

Cross Border Business Opportunities Networking Session onMetal Stamping & Precision Industries

Saw Seong Ho, FMM Johor Vice Chairman(right) receiving a token of appreciation fromLam Joon Khoi, Secretary General of SingaporeManufacturing Federation

Group photograph of the delegates who attended the Networking Session

A Hi-Tea Cum Dialogue Session with Jabatan Tenaga KerjaNegeri Sembilan was held on Friday, January 18, 2013. A totalof 65 participants attended the session.

The objective of the session was for the participants to developa closer rapport with the Department of Labour (JTK) NegeriSembilan and to seek clarification on areas of concern to theindustries including on Minimum Wages Order 2012, MinimumRetirement Age Act 2012.

Hi Tea cum Dialogue Sessionwith Jabatan Tenaga KerjaNegeri Sembilan

Branch Chairman Steven Aroki (right) presenting a token ofappreciation to Chua Ah Ley, Deputy Directory of JTK Negeri Sembilan

Negeri Sembilan



Negeri Sembilan

Seminar on Classification Updates –Amendment In Harmonised System 2012

A seminar on GST for Industries: Getting Started wasconducted by Fazilah Bt Ariff, and Zuraini Bt Othman, SeniorAssistant Directors of Customs Putrajaya on January 15-16,2013.

Companies may register as a taxable person via TaxpayerAccess Point (TAP) at http://gst.customs.gov.my which willbe made available once GST is implemented. OnlyCompanies’ Directors are allowed to register with TAP.

GST for Industries: Getting Started

The first Branch MembershipNetworking session was heldon January 8, 2013. Attendedby Branch Committee andpotential members, theSession began with a shorttalk on ‘The 7 Secrets Rhythm:The Ultimate Solutions for ZeroDefect Manufacturing’ byElanggovan Thanggavilo, co-founder, The 7 SecretsRhythm.

Membership Networking Session

Group photograph of the participants of the Membership Networking Session

Zuraini Bt. Othman, Senior Assistant Director, CustomsPutrajaya conducting the seminar on GST for Industries.

A Seminar on Classification Updates - Amendment in theHarmonized System (HS) 2012 was held on January 23,2013 and was facilitated by Tan Eok Chye, Senior AssistantDirector of Customs. The Seminar was organised with thefollowing objectives:

• To update participants on the Tariff Code Classification aswell as its intricacies and mechanism.

• To provide information on how to obtain the correct or mostappropriate Tariff Code Classification and its application.

• To provide information on the use of correct Tariff Codesand avoid the grey areas and pitfalls.

• To provide a platform for participants to networking as wellas for raising questions in relation to tariff codeclassification.

Malacca


Sarawak

A.P.S. Medical Sdn BhdAccordia Global Sdn Bhd

Aim Food Manufacturing Sdn BhdAnglo Wax Industries Sdn Bhd

Baldelli Automation (Malaysia) Sdn BhdBehr Bircher Cellpack BBC Malaysia Sdn

Bioton Corporation Sdn BhdBKS Sdn Bhd

CPTEM Sdn BhdDunia Herbs Holding Sdn Bhd

Emdek Sdn BhdEsmo Automation (M) Sdn BhdFlexlink Engineering Sdn Bhd

Fresh Start Bakeries (Malaysia) Sdn BhdHiap Huat Chemicals Sdn Bhd

Icontro Software Sdn BhdKako Suntax (Malaysia) Sdn Bhd

Kangyuen Printing Enterprise Sdn Bhd

Ordinary MembersKedah Agro Industries And Marketing Berhad

Lee & Sons Enterprise Sdn BhdMagna Senada Sdn Bhd

Maxsilin Products Sdn BhdMazs Sdn Bhd

Mega Housewares Industries Sdn BhdPelikan Production (Malaysia) Sdn Bhd

River Electronics (Ipoh) Sdn BhdRubysteel Metal Industry (M) Sdn Bhd

Samsung Corning Precision Materials (M) Sdn BhdSCIB Concrete Manufacturing Sdn BhdSigma Water Engineering (M) Sdn Bhd

Star Rolling Shutter Sdn BhdTruchemic Technologies (M) Sdn Bhd

Venturemore Premium Sdn BhdWah Seong Corporation Berhad

Yeong Chaur Shing Paper Mill Sdn Bhd

Martin-Brower Malaysia Co Sdn Bhd Meadow Garden Sdn Bhd

PKT Logistics Group Sdn Bhd Rentwise Sdn Bhd

Sim Leisure Adventureplay Sdn Bhd

Affiliate Members

New Members (January – February 2013)

The FMM welcomes the following 40 new members into the organisation, 35 Ordinary Members and 5 Affiliate Members. A high proportion was from Selangor (40%), 10% from Penang, Malacca and Perak and 8% from Federal Territory,

with the rest from other states


The Branch’s WorkingCommittee led by its ViceChairman, Ir Michael Hii Ee Sing,paid a courtesy call on theAssistant Minister in the ChiefMinister’s Office, Datu Haji LenTalif Salleh on January 16,2013.

The meeting discussedcollaboration in training betweenFMM Institute and the StateGovernment to further developand upgrade the skills of theworkforce in Sarawak. Amongthe programmes proposed wereCertificate in Safety and HealthOfficer, Certificate in SteamEngineer, Certificate inBoilerman, Chargeman andWiremen Grade 1 & 2.

Courtesy Call on Assistant Minister

Vice Chairman of FMM Sarawak Working Committee, Ir Michael Hii Ee Sing (2nd left), presenting the FMM Directory toDatu Haji Len Talif Salleh, Assistant Minister in the Chief Minister’s Office (3rd left)


Business - FMM MarApr2013 110413 final... · @FMM Business in Action KDN NO: PP 16730/08/2012...

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