ATA IMS shares jump 24%

ATA IMS shares jump 24%
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KUALA LUMPUR (Dec 8): ATA IMS Bhd shares soared 24% after trading at among their lowest levels last seen in February 2017.

The counter had been on a downtrend since October 2021.

At 11.05am on Wednesday (Dec 8), the counter had risen 10.5 sen to 54.5 sen, with 177.25 million shares traded, making it the top active counter on Bursa Malaysia.

ATA IMS recently said Dyson Operations and Dyson Manufacturing had issued notices of termination of contracts, effective June 1, 2022.

“The board of directors notes a news article on Reuters on Nov 25, 2021, in which references were made to the termination of contracts by Dyson Operations and Dyson Manufacturing and to an audit of the company’s labour practices.

“The company confirms that prior to the receipt of the notices of termination, the company was in discussions with Dyson regarding the findings of the audit,” it said in a filing with Bursa. 

ATA IMS contended that if its workers were to perform overtime, it was solely on a voluntary basis.

On Tuesday, the electronics manufacturing services (EMS) firm said its policy strictly adheres to the Malaysian labour law, which permits up to 104 hours on normal working days in a month.

“The company has started implementing a zero overtime-on-Sunday policy that unfortunately resulted in the resignation of close to 300 local and foreign workers in the first week of December 2021,” it noted.

All workers on the premises of ATA IMS reportedly have valid work permits.

Read also:
ATA IMS: Contract termination by Dyson effective June 1, 2022
ATA IMS says workers resigned after it implemented 'zero overtime on Sunday' policy