IBM instructed to revoke labor accommodation agreement and restart the process

Dec 25, 2024, 6:42 AM
MWSC MD Matheen (L) and the IBM MD Jinan (R)

MWSC MD Matheen (L) and the IBM MD Jinan (R)

MWSC has directed Island Beverage Maldives (IBM) to terminate its new labour accommodation agreement and restart the process.

MWSC Managing Director Abdul Matheen stated in a post on X that IBM, a subsidiary of MWSC, had received complaints regarding the process and pricing of its new labor accommodation arrangements.

“We received a complaint a few days ago about the procedure and pricing of labor accommodations for IBM. The internal audit team reviewed the progress and costs, discussed the issue with the MWSC board, and conveyed the necessary actions to IBM,” he said.

According to information shared on social media, IBM leased an accommodation block for five years through a company called Tele Maldives at a cost of MVR 200,000 per month without a bidding process.

The new agreement reportedly includes the lease of an additional floor, with IBM covering its renovation expenses.

Previously, IBM rented labor accommodations, also from Tele Maldives for MVR 60,000 per month. The initial labor accommodation agreement was signed on August 27. However, the agreement was amended, and a new one was signed on October 22 this year.

This adds to the growing concerns about corruption in government-owned companies. The Housing Development Corporation (HDC) is currently under investigation by the police and the Anti-Corruption Commission (ACC).

HDC’s MD Ibrahim Fazul Rasheed and Fenaka’s Managing Director Muaz Mohamed Rasheed have now resigned from their positions.

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