Malaysia: Dell Axed Another 700

In spite of what the government is trying to do to maintain employment,revenue and profits still continue to rule the way.

And so some 700 Dell Malaysia workers in Penang will be let off in a voluntary separation scheme (VSS) exercise soon.

The 700 include those in the operator, supervisory and managerial positions at its Bukit Minyak plant here.

Dell corporate communication senior manager Jasmine Begum said the VSS scheme was being implemented because Dell was transferring the division that manufactured notebooks for Latin America, Canada and US markets to the group’s global manufacturing network.

“This means that the Bukit Minyak plant will only manufacture notebooks, desktops and servers for the South Asian and Australian markets,” she said.

The move would enable Dell Malaysia to be more cost-effective in its operations, reduce delivery time and enhance the quality of the products manufactured, Begum said.

“Dell Malaysia will continue to hire for the procuring, financing, and supply chain planning departments,” she said.

Jasmine said the affected workers would leave the company via VSS packages from January to June.

“They will be given competitive VSS packages. We will also provide them with career counselling and outplacement services,” she added.

Dell Malaysia, which has been operating here since 1995, currently has some 4,500 workers, most of them employed at the Bukit Minyak plant, and the rest at the Dell Cyberjaya Centre.

After the VSS implementation, the workforce in Malaysia will be scaled down to about 3,800. In March, Dell Malaysia offered VSS packages to about 5% of its employees.

I do not with the improving world economic situation,VSS will be reduced.