25 July, 2025A strong majority of workers at Flextronics Penang voted in favour of union recognition, but the process was derailed by what the union describes as an aggressive, company-led union-busting campaign.
IndustriALL affiliate, Malaysia Electronics Industry Employees’ Union Northern Region (EIEUNR), lost a crucial secret ballot at Flextronics Technology (Penang) Sdn Bhd (FLEX) after falling just short of the required turnout. Out of 6,345 eligible workers, 2,748 cast their votes, 424 short of the 50 per cent turnout required by Malaysian labour law. Despite this, 92 per cent of those who voted supported union recognition, suggesting the union would have won had all workers been allowed to vote freely and without interference.
In the months leading up to the 14–15 July ballot, EIEUNR faced a “relentless anti-union campaign” by FLEX management. Managers and supervisors held group briefings discouraging workers from joining the union, and employees were threatened with the loss of existing benefits if they supported it. The company issued memos declaring, on 14 July, a replacement public holiday, but supervisors told workers verbally not to report to work, creating confusion and uncertainty about the voting process.
Security guards reportedly blocked workers from accessing the list of eligible voters displayed on notice boards, creating an atmosphere of fear. The company also delayed buses and vans transporting workers to the factory, and in some cases sent them straight to the production area, bypassing the voting booths entirely.
A week after the vote, 80 Flextronics workers lodged police reports alleging that supervisors had prevented them from leaving their workstations to vote and threatened them with verbal warnings, sparking widespread concern over intimidation and retaliation.
EIEU general secretary David Arulappen said:
“We demand the police investigate direct or indirect threats from the employer during the secret ballot process. We call on Minister of Human Resources Steven Sim to intervene immediately and reconvene a new ballot under fair conditions, free from anti-union discrimination by FLEX.”
Flextronics Technology (Penang) Sdn Bhd is part of FLEX Ltd., one of the world’s largest electronics manufacturing services companies. Headquartered legally in Singapore and operationally in Austin, Texas, FLEX operates more than 100 facilities in over 30 countries and employs over 170,000 people. The Penang site is one of its key Asian production hubs, contributing to the company’s annual US$26 billion revenue. FLEX manufactures and provides supply chain services for leading global brands in consumer electronics, automotive, telecommunications, and healthcare.
In March 2025, FLEX was recognized for the third consecutive year as one of the World’s Most Ethical Companies in the industrial manufacturing category, for its commitment to ethics, compliance, and governance.
IndustriALL ICT Electrical & Electronics sector director Alexander Ivanou said:
“On 11 July, IndustriALL sent a letter to FLEX CEO Revathi Advaithi, urging the company to stop its union-busting practices. We regret that FLEX ignored our call, and that these unfair labour practices led to a failed ballot. We will escalate this case internationally and urge the Malaysian government to take strong action against FLEX, ensuring compliance with ILO Convention 98 on the Right to Organize and Collective Bargaining. In addition, we demand that the company implements comprehensive remediation measures to address the violations that occurred, restore justice for affected workers, and prevent further union busting in the future.”