End of loan moratorium may halt economic recovery, say workers’ groups

Sheridan Mahavera Updated 3 years ago · Published on 21 Jul 2020 8:23PM · 1 Comments

Low- and middle-income workers, who make up more than 80% of the workforce, will experience more retrenchments at the end of the moratorium. – The Malaysian Insight file pic, July 21, 2020.

THE end of the year will see more lay-offs and bankruptcies if banks do not extend their loan moratorium until December, said trade associations and private-sector unions.

Low- and middle-income workers, who make up more than 80% of the workforce, will experience more retrenchments, said the Malaysian Trades Union Congress (MTUC).

The MTUC, Malaysia’s largest private-sector union body, said this will then be followed by workers seeing their houses and cars being repossessed by banks as they cannot repay their loans.