MTUC calls for workers’ welfare guarantee in SME aid


Malaysians going about their business in Jalan Raja Laut, Kuala Lumpur. The Malaysian Trades Union Congress has called for a guarantee on staff welfare in the government’s cash aid to small and medium enterprises. – The Malaysian Insight pic by Afif Abd Halim, April 5, 2020.

THE Malaysian Trades Union Congress wants Putrajaya to ensure workers’ interests are protected as part of a pivotal condition for small and medium enterprises (SMEs) to obtain government assistance.

Secretary-general J. Solomon said whatever cash assistance given to SMEs must be used to retain staff and provide long-term job security.

“Any attempt by unscrupulous employers to use this aid to maintain their expensive lifestyle like high salaries, huge entertainment and housing allowances must be stopped.

“There should be no compromise on protecting the B40 workers.  Most of them depend on daily or low monthly wages.

“Many are on minimum wages and ignoring them will result in serious social implications. The government must be aware of the consequences of worsening inequality in the country.”

Solomon said MTUC has noted reports that some employers have already forced workers under duress to apply for voluntary retrenchment, wage cuts and leave, disregarding the government’s directives.

He said the Human Resources Ministry must make emergency employment regulations to prevent retrenchment, wage cuts and forced annual leave for one year.

He said Finance Minister Tengku Zafrul Tengku Abdul Aziz has hinted at the possibility of an economic recovery in 2021 with RM121 billion as extra capital buffer in the financial system.

“Having this ‘cushion’ makes it imperative for the government and employers not to neglect workers by ensuring they keep their jobs and their income intact,” said Solomon.

“In due course, these workers will once again become the frontliners for Malaysia’s economic recovery.

“Therefore, SMEs and the government must ensure these frontliners do not become victims of short-sighted policies nor unscrupulous employers in their current hour of need.” – April 5, 2020.


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