KUALA LUMPUR (April 29) – Salutica Bhd (KL:SALUTE) announced it will cut approximately 53% of its workforce starting April 30, 2026, as part of a major restructuring to streamline operations and ensure long-term financial sustainability. The retrenchment affects employees across multiple departments, according to a company statement.
The move comes as the company faces ongoing financial challenges, including losses in recent quarters. Salutica, which manufactures audio and wireless products, has been impacted by global supply chain disruptions and reduced demand. The restructuring aims to reduce operational costs and focus on core business areas.
Affected employees will receive compensation packages in line with Malaysian labor laws, the company said. Salutica also plans to provide outplacement support to help workers transition to new jobs. The company did not specify the exact number of employees affected, but based on its latest annual report, the workforce stood at around 1,200 as of June 2025.
Salutica's shares fell 3.5% on the announcement, closing at RM0.55. Analysts say the restructuring is necessary but caution that execution risks remain. The company expects the rationalization to save about RM15 million annually.
