The electronics manufacturing services (EMS) sector in Malaysia has seen mixed performance in 2024 despite being part of the broader tech upcycle, with rising costs, inflation, and supply chain disruptions offsetting growth from increased global demand and outsourcing trends. Key EMS Performances Winners : SKP Resources Bhd (+76% YTD) V.S. Industry Bhd (+47% YTD) NationGate Holdings Bhd (+51% YTD) P.I.E. Industrial Bhd (+29% YTD) Strugglers : ATA IMS Bhd (-8% YTD) JHM Consolidation Bhd (-36% YTD) Growth Drivers and Challenges Diversification Opportunities : The China+1 and Taiwan+1 strategies have positioned Malaysian EMS players to gain market share. However, reliance on major customers, such as Dyson, continues to be a concern. Cost Pressures : High inflation and production costs have affected profit margins. Company Highlights SKP Resources : Recorded a 27% y-o-y net profit increase , benefiting from a recovery in consumer demand. V.S. Indust...
Cindy Lui, a former equity sales trader at Citigroup Inc, has won her case for unfair dismissal in Hong Kong’s Labour Tribunal. The court ruled that the US bank failed to justify Lui’s summary dismissal in 2019.
Background of the Case
Lui, who served as a vice-president at Citigroup for 12 years, was part of a Hong Kong-based team accused of misrepresenting trading positions to clients. Regulators in Hong Kong had identified “pervasive dishonest behaviour” in Citigroup’s Asian markets division, leading to a HK$348.3 million fine in 2022.
Citigroup terminated Lui for alleged misrepresentation of trades and misleading its investigations team. This dismissal resulted in Lui losing HK$2 million in pension benefits and her 2018 bonus.
Key Tribunal Findings
- The tribunal found that while Citigroup had valid reasons for dismissal due to trade misrepresentation, there wasn’t sufficient evidence of fraud or dishonesty to warrant summary dismissal, which is considered the employment equivalent of "capital punishment."
- Lui was awarded her pension benefits and contractual pay, but her claims for compensation for loss of future job opportunities were denied.
Impact on Lui and Citigroup
- Lui argued that inadequate training and unclear guidance from Citigroup contributed to the alleged regulatory breaches.
- Since her dismissal, Lui has faced challenges securing comparable roles in the industry and currently works at Haitong Securities.
Citigroup’s handling of similar cases globally has also come under scrutiny. In separate rulings, courts in Tokyo and London sided with dismissed traders, ordering compensation or ruling against the bank.
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