PUTRAJAYA will pump in another RM5 billion to fund a wage subsidy programme for another three months, said Prime Minister Muhyiddin Yassin. 

The initiative was announced in the first stimulus package to mitigate the impact of Covid-19, and has been welcomed by workers and employers, he said.

“The programme which was initiated for three months has saved over 2.2 million jobs.

“To assist companies in the transition period of the economic recovery period, the government will extend this wage subsidy for another three months,” he said when announcing the RM35 billion Penjana economic recovery plan today.

Muhyiddin said the wage subsidy is set at RM600 per month for up to 200 workers per company.

“Employers may apply for the wage subsidy provided that their employees receive direct subsidy payment.

“This is for tourism sector workers and the sectors listed under economic activities that are banned during the conditional movement control order, and those that have been directed to take unpaid leave.”

He said Putrajaya is allocating RM1.5 billion under the Employment Incentive Program to encourage employers to hire the unemployed and disabled.

“The government will introduce this initiative where companies will be given incentives to provide jobs for the unemployed and youth. 

“It is estimated that 300,000 jobseekers will benefit from two incentives.”

Those who hire unemployed persons below the age 40 will get RM800 per employee, those hiring above 40 and disabled persons will get RM1,000 a month.

“These incentives will be given for a period of six months.”

To boost skills among the unemployed, training allowances of up to RM4,000 can be claimed from Socso by this group, even if they are not contributors under the Employment Insurance Scheme, he added.

There is also a RM600 per month incentive for employers who give apprenticeships to school leavers and graduates.

Muhyiddin said the government will allocate RM2 billion for skills development programmes for the unemployed and youth.

“This will benefit more than 200,000 people.

“For the youth, this includes training and placement programmes, implementation of short courses at selected institutions and training subsidies.

“For the unemployed, the government will implement skills upgrading programmes in important industries.” – June 5, 2020.