True Fitness Malaysia salary issue 'resolved'

PETALING JAYA • True Group will pay salaries owed to 70 of its staff in Malaysia affected by the sudden closure of its fitness centres in the country, a spokesman said yesterday.

The company's accounts had been "held back" due to the announcement last weekend of the closure but the problem had been resolved, he added.

On Saturday, True Fitness Malaysia announced that it had closed its three gym and spa facilities - at Jaya 33, Taipan Subang and Sunway Giza - as they were "no longer financially viable".

True Fitness Malaysia is part of the True Group, which claims about 10,000 members were affected by the closure.

Domestic Trade Cooperative and Consumerism Minister Hamzah Zainuddin said they can claim up to RM25,000 (S$8,100) through the Malaysian Consumer Claims Tribunal.

The True Group spokesman said yesterday that the Malaysia arm had been incurring operating losses since the implementation of the Goods and Services Tax in May 2015.

"The losses for 2015 were RM9.15 million, and RM7.26 million in 2016," he said, adding that the group's businesses in Singapore, Taiwan and China had been subsidising the losses.

THE STAR/ASIA NEWS NETWORK

A version of this article appeared in the print edition of The Straits Times on June 14, 2017, with the headline 'True Fitness Malaysia salary issue 'resolved''. Print Edition | Subscribe