ABSTRACT
This chapter evaluates the impact of privatization in Malaysia, for employees involved in the newly privatized companies formed from the public sector. It examines the effects of privatization on employees, looking at expectations held before and actual conditions encountered after privatization in the two cases of Tenaga Nasional Berhad (TNB, or National Power Limited), and Projek Lebuhraya Utara-Selatan (PLUS, or North-South Highway Project). Employees involved in the transition from public to private service have been known to fear retrenchment or reduction of benefits. These feelings emerge because the public sector is widely believed to be overstaffed, and since privatization advocates improved efficiency and productivity, employees believe employers may reduce the size of their workforces. After World War II, it was felt that a central body was vital to integrate and operate electricity generation and distribution projects. This resulted in the formation of the Central Electricity Board in 1949.
