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Business News of Tuesday, 18 November 2003

Source: Joy Online

Malaysians Sabotage PSC Shipyard?

Workers of PSC Tema Shipyard say their Malaysian managers are deliberately stifling the company of funds in order to force a closure. The workers’ complaint follows a recent surprise visit to the shipyard by the Minister of Ports, Harbours and Railways during which the workers reiterated their call for government to abrogate the purchase agreement with the Malaysian company, Penang Shipbuilding and Construction.

The Malaysian chief executive of PSC Tema Shipyard, Rahim Jafar, and his three associates have deserted post since the, citing fears for their lives after negotiations over the workers collective bargaining agreement broke down.

The chairman of the senior staff association, Edwin Seshie, told Joy FM that their managers have resorted to a boycott to force a closure of the company. He also said the chief executive has refused to release funds for the day-to-day operations of the shipyard.

Mr Sheshie disclosed that currently, work on three vessels have been put on hold, although the company has three weeks to deliver the vessels to their owners. The cost of the projects is about 500,000 dollars.

According to Mr. Seshie the chief executive announced his decision not to release funds for the company after the visit of the Minister last week. On his visit to the shipyard last week, the Minister, Christopher Ameyaw-Ekumfi, expressed concern about the absence of the managers but also cautioned the workers against any acts of lawlessness.

The Tema Regional Police Commander, Agnes Sika-Nartey, also denied claims by the Malaysians that their lives were in danger. She told Joy FM in an interview that the Malaysians refused to go back to the shipyard even after the police had determined that the workers had no intention to harm their managers.

Miss Sika-Nartey stressed that the workers’ demonstrated their resolve to avoid violence by continuing to work peacefully even in the absence of their bosses.

PSC Tema Shipyard is one of the few bad cases of divested companies especially to the Malaysian investors. The company, formerly Tema Shipyard and Drydock, has been dogged by controversy ever since it was divested seven years ago. The workers have made repeated allegations of mismanagement against their Malaysian managers.

In a recent petition to government, the workers called for the abrogation of the purchase agreement with the Malaysians saying they have failed to pay the full price of 4.2 million cedis representing 60 per cent shareholding in the company.

The Minister of Ports, Harbours and Railways, confirmed at a press conference last month that the Malaysian investors had not fully paid for their 60 per cent shareholding. He also announced that government had engaged the services of a consultant to review the operations of the company and make recommendations.