Local glove makers in the spotlight as more employees get infected

by PRIYA VASU/ file pic by TMR

 

LOCAL glove manufacturers appear to be down on their own luck with more employees falling  prey to the Covid-19 virus.

In an analysts briefing yesterday, Kossan Rubber Industries said it has voluntarily stopped operations in one of its affected plants involving 427 positive Covid-19 (local 8, foreigner 419) cases among workers at their glove division, said BIMB Securities Research in a note.

Kossan has conducted Covid-19 testing for its glove division/in phases from 4-10th Dec with a total of about 7k workers.

“The shut plant represents about 25% of total output. Impact of closure for

2 weeks is minimal at about 2% of our FY20 earnings forecast.” noted BIMB Securities.

Kossan has stopped operations on 7 Dec in the affected areas, performed a thorough disinfection and placed workers that have direct contact under quarantine for 14 days. 

The company will conduct a second PCR test on 1,667 employees under quarantine on 16th or 17th Dec before being permitted to work again if confirmed healthy. 

“Additionally, in order to further enhance the effectiveness and make sure everything is under control, the company is looking into implementing a random test sampling for their workers every 2 weeks,” said BIMB.

A slew of negative news affecting glove companies have been plaguing the industry with Hartalega confirmed 35 of its employees were positive Covid-19 earlier this week.

Last month, the world’s largest glove maker Top Glove Corporation Bhd reported its 2,684 employees have tested positive that prompted the government to shut 20 manufacturing plants.

 

Read our previous report here:

 

Hartalega’s Covid tests wipe RM6b in market cap