FGV offers VSS, senior team to take allowance cut
KUALA LUMPUR: Felda Global Ventures Holdings Bhd (FGV) has started a voluntary separation scheme (VSS) for its general managers and above as part of manpower optimisation exercise.
“This initiative has to begin from the top and it is a signal that we are making tough decisions to enhance the confidence of our shareholders and stakeholders,” said FGV group president and chief executive officer Datuk Zakaria Arshad.
“The pool of general managers, senior general managers and vice-presidents, including myself, would also be taking cuts of about 15 per cent to our allowances, as part of the company’s frugal cost management initiative,” he said yesterday.
The company was targeting a 15 per cent takeup from 236 senior management staff who had received the offer.
Earlier, two newspapers, quoting unnamed sources, reported that there might be organisational changes within FGV and MSM Malaysia Bhd.
Zakaria clarified there was no significant changes in the management structure at both FGV and MSM Malaysia.
“Mr S. Palaniappan, who has almost 40 years of experience in the plantation and R&D industry, will remain as our chief operating officer of plantation sector in charge of palm upstream, palm downstream and R&D activities,” he said.
The decision to moot VSS was in line with FGV’s strategic intent to deliver sustainable performance in a challenging industry and to boost the operational and financial performance of FGV’s core business.