
Thu May 22 06:39:13 UTC 2025: **Summary:**
Around 280 Bangladeshi migrant workers in Malaysia are demanding hundreds of thousands of dollars in back wages and other money owed to them after their former employer, a plastic parts supplier to big Japanese companies, closed down. The workers at Kawaguchi Manufacturing’s factory in Port Klang, Malaysia’s largest port city, were left stranded when the company withheld their wages for up to eight months before shutting down late last year. Labour advocates say the situation is worsening as more people from across South Asia, sometimes losing their livelihoods owing to climate change, seek work in Southeast Asia. Trade tensions between the U.S. and China have accelerated that trend as factories move from China to places in Malaysia, Thailand, Vietnam and elsewhere.
Kawaguchi’s former main customers, Panasonic, Sony, and Daikin have agreed to cover an estimated $1.3 million of the recruitment costs paid by the workers. The workers are seeking more help, and lawyer Terry Collingsworth of the U.S.-based International Rights Advocates, who is representing them, said they were in discussions with Sony and Panasonic.
**News Article:**
**Bangladeshi Migrant Workers in Malaysia Demand Back Wages After Factory Closure**
*Hanoi, Vietnam – May 22, 2025* – Hundreds of Bangladeshi migrant workers in Malaysia are seeking compensation after their employer, Kawaguchi Manufacturing, a plastic parts supplier for Japanese companies, shut down operations without paying them. The workers, located in Port Klang, Malaysia, claim they are owed hundreds of thousands of dollars in back wages and other benefits.
The closure occurred after Sony and Panasonic, major clients of Kawaguchi, halted orders following allegations of abusive labor practices, including withheld wages, excessive working hours without breaks, confiscated passports, inadequate housing, and delayed visa renewals.
The plight of these workers highlights a growing problem in Southeast Asia, where migrant laborers often face exploitation due to high recruitment fees and poor working conditions. Labor advocates cite climate change and trade tensions as contributing factors, pushing more individuals from South Asia to seek employment in the region.
The situation has become a diplomatic issue between Bangladesh and Malaysia, with officials from both countries meeting to address the problem. While Kawaguchi was ordered to pay over three million ringgit in back wages, only a small fraction has been distributed.
Former customers of Kawaguchi, including Panasonic, Sony, and Daikin have agreed to cover an estimated $1.3 million of the recruitment costs paid by the workers.
The workers are now seeking additional assistance to cover outstanding debts and other losses incurred due to the factory’s closure and alleged mistreatment.