Top Glove targets 78 billion pieces in annual capacity amid labour shortage
The group is seeking an 8% increase in FY2027 and plans to recruit workers while improving productivity and automation.
Top Glove Corporation Bhd aims to lift its annual running capacity to 78 billion pieces in FY2027, but insufficient manpower remains a major obstacle, corporate director Lim Cheong Guan said. The target represents an 8% increase from 72 billion in FY2026.
FY2027 ends on Aug 31, 2027. Speaking after the group's results briefing, Lim said Top Glove would concentrate on making better use of its existing facilities, raising productivity and increasing automation to support production.
Joint managing director Ng Yong Lin said recruitment would continue across local workers, contract workers and TVET candidates. The group also plans to shift manpower among factories and pursue further automation to improve output.
Top Glove reported that FY2026 sales volume increased by 28% year-on-year, with net profit reaching a five-year high. Alongside its production plans, the company faces an estimated 30% rise in natural gas tariffs and a possible minimum wage increase signalled by the government.
Approximately 80% of the group's workforce could be affected by minimum wage adjustments. Ng said a move from RM1,700 to RM1,900 would add around 1% to costs per carton, while a further rise to RM2,000 would create additional cost pressure.
Executive chairman Tan Sri Dr Lim Wee Chai said wage increases needed to be matched by productivity gains for the group to remain competitive globally.
