EMPLOYERS are reluctant to hire former convicts, parolees and drug addicts despite the government’s decision to introduce tax incentives to encourage such moves, said Malaysia Employers’ Federation executive director Shamsuddin Bardan.

“Most employers are worried about this because they are afraid that it might have a negative impact (on their businesses),” Shamsuddin told The Malaysian Insight.

The government recently gazetted income tax deductions for employers to hire senior citizens, ex-convicts, parolees, supervised persons and former addicts.

The incentive is applicable to former convicts who have served their jail sentences and for suitable parolees identified by their supervising officer.

As for ex-drug addicts, the incentive is applicable to those who have received rehabilitation and supervision in accordance with the Drug Dependents Act (Treatment and Rehabilitation).

The gazette stipulates that the employee must be employed in a full-time position on a salary not exceeding RM4,000 to enjoy the tax incentive.

The employer and employee should not be the same person or have blood ties.

The employer will also have to get the approval of the Prisons Department or the National Anti-Drug Agency (AADK) before employing a former convict or drug addict who fits the requirement.

Shamsuddin said while such incentives are welcomed, the details remain sketchy.

“We welcome such incentives to encourage the hiring of such employees. Unfortunately, the awareness is still low.”

The Prisons Department and police should explain further on the matter to increase understanding on the move, he said.

Shamsuddin also said the availability of limited information on the employees is also a source of concern. – August 15, 2019.