Over 1,500 COVID-19 Cases Clustered at World's Largest Glove Company

Malaysia's Top Glove Suspends Operations at 20 Factories
Malaysian Government Mandates Diagnostic Testing for All Foreign Workers

[Asia Economy Kuala Lumpur Correspondent Hong Seong-a] Top Glove, the world's largest rubber glove manufacturer based in Malaysia, has temporarily suspended operations at dozens of its factories due to a COVID-19 cluster infection. The company also produces medical rubber gloves, raising concerns about potential supply disruptions caused by the shutdown. The Malaysian government has taken strong measures, including mandatory COVID-19 testing for all foreign workers.

According to local media such as The Star on the 1st, Top Glove shocked the local community when 1,511 foreign workers living in the company's dormitories were infected on the 24th of last month alone. By the end of last month, a total of 4,063 workers had tested positive in COVID-19 screenings. This cluster infection is considered the largest in Malaysia's history.

As the large-scale infection became a reality, Top Glove began a phased temporary closure of 28 factories in Meru, Selangor, and started testing all production staff. Operations at 20 factories have already been suspended, while the remaining eight continue to operate on a limited basis. The Malaysian Ministry of Health reported that by the 27th of last month, 80% of the 13,000 Top Glove factory workers in Meru had been tested, and plans to complete testing of all employees in production facilities by the 4th of this month. Due to the production halt, 5,700 of the 21,000 employees, or 27%, have begun taking leave.

Top Glove, which produces various industrial gloves including latex and vinyl gloves, enjoyed a boom this year due to the COVID-19 pandemic. Its net profit for the fourth quarter of the 2020 fiscal year (June to August) reached 1.29 billion ringgit (approximately 350.2 billion KRW), more than 17 times the 74.2 million ringgit recorded in the same period last year. The company operates 41 production facilities in Malaysia, four in Thailand, and one each in China and Vietnam.

With Top Glove deciding to temporarily close about half of its Malaysian production facilities?20 factories?disruptions in the supply of medical rubber gloves are expected. Local media predict difficulties in glove supply could last up to four weeks.

The cluster infection originated from the dormitory conditions, which facilitate easy virus transmission, prompting plans to improve living conditions for foreign workers. Top Glove has pledged to resolve issues related to foreign workers' housing and treatment, committing to comply with the Minimum Standards of Housing and Amenities Act by the end of this month.

As foreign workers continue to test positive, the government has also announced plans to strengthen COVID-19 testing for foreign workers. The aim is to conduct screenings among this vulnerable group to prevent further infections. Defense Minister Ismail Sabri Yaakob stated, "Following cluster infections at factories such as Top Glove, we will conduct mass testing of foreign workers," adding, "From today, COVID-19 testing for all foreign workers is mandatory." He also emphasized, "All costs must be borne by the employers."