Mustafa Centre hit by MOM probe after ex-employees accuse HR department of unfair treatment

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Investigations have been launched into the allegedly shady employment practices conducted within Mustafa Centre.

Several former workers of the retail giant have gone on record with The Online Citizen to claim that their ex-employers had ordered them to return part of their salaries back to the company. It’s part of a “cash back” practice that has no determined reason or benefit, said Abdul Haq Siddique, a former Senior Sales Executive at Mustafa Centre’s jewelry department.

This is how it allegedly worked, according to the TOC report.

  • When the foreign workers receive their salary, the company’s human resourced department would order them to return a portion of their salaries as a form of “cash back”.
  • The amount to be returned to the HR manager or his assistant ranged between $600 to $1000 for Abdul.
  • Apparently, only the salaries of the family members of Mustafa Centre owners are exempted from the “cash back” practice.
  • The practice only stopped in October 2017 after a bitter legal suit erupted within the Mustafa family.

“No one knows where the money goes to,” Abdul told TOC.

The former Mustafa Centre workers are now speaking out after the management suddenly stated that S-Pass employees will no longer have their passes renewed.

“On 28 May this year, the S-Pass holders working for the Mustafa company were told that their passes will not be renewed, as their manpower costs for S-Pass holders have increased due to the cessation of cash back collections.”

According to Abdul, roughly 100 S-Pass employees at Mustafa Centre are facing the same situation.

MOM launches investigations

MOM has confirmed to The New Paper that Mohamed Mustafa & Samsuddin Company Pte Ltd — the firm that owns Mustafa Centre — is currently being investigated in the wake of several complaints lodged against it. The probe on the company involves infringements to the Employment of Foreign Manpower Act.

Though their work permits have expired, TOC reported that Abdul and other former employees of Mustafa Centre have been granted Special Passes to assist in MOM’s investigations.

The troubles with MOM would no doubt add to the distress currently being faced by Mustafa Centre founder Mustaq Ahmad, whose family is being sued by his step-siblings for alleged oppressive conduct, TNP reported.



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