I WAS appalled to read a report on a study commissioned by the United Nations Population Fund and the United Nations Children’s Fund that one in three young adults in Kuala Lumpur’s poorest communities are either jobless or have given up trying to get employment.

This is a staggering rate that underscores a deepening crisis besetting the country’s most vulnerable communities amid a pandemic.

It goes to show that earlier studies had the same findings; urban poverty in Malaysia is far harsher and more extreme than rural poverty. Low levels of education or skills, lack of employment opportunities, low wages, large family size and lack of basic amenities are among the factors causing urban poverty.

We must curb unequal distribution of wealth within the nation in terms of education, housing and health care and develop sustainable approaches by the government in resolving this problem through the Budget 2021.

There are a few areas the government should look at to reduce urban poverty:

Malaysia@Work

The Malaysia@Work initiative which was part of Budget 2020 should be revived. The initiative comprises four components – Graduates@Work that focuses on employment among fresh graduates;  Apprentice@Work, aimed at increasing technical and vocational education and youth participation in training (skilling); Women@Work, to attract women workers’ and Locals@Work to promote jobs labelled dangerous, dirty and difficult (3D) to Malaysians.

Skills digital wallet (skilling)

To get Malaysians skilled, the government should also set up a Skills Digital Wallet to encourage Malaysians to get skilled or upskill as part of their lifelong learning journey. At least RM500 must be credited into the wallet to prepare Malaysians for future jobs, the future economy, gig economy and IR4.0 The money should only be used at reputable Institutes that have made a name for skilling, reskilling and upskilling Malaysians and it must expire within three to six months in order to get early results. Companies should also be encouraged to contribute towards this wallet for their staff as they in return will have upskilled staff.

Universal basic income/minimum wage
There is a need to explore the concept of universal basic income as a long-term strategy to combat urban poverty. Universal basic income refers to a guaranteed liveable income that is provided to everyone who can be considered as poor on a regular basis.

The best way of ensuring that no family is short of food is by paying at least RM1,500 monthly to households listed in Bantuan Prihatin Negara.

The minimum wage was increased by the PH government to RM1,200 and this should be reviewed and increased gradually. Integrated facilities for the poor

Thirdly there is a need for proper housing and related infrastructure for the poor. Without decent accommodation and access to vital facilities such as school, market, and public transport there would be a lack of motivation to seek employment. There is a need for proportionate budget allocation that links all this vital area in resolving urban poverty.

In my constituency there is an historical Pari tower that was built by the late SP Seenivasagam that has been abandoned for years without any action by the local authorities. I would urge that this building be rebuilt to house the poor in my constituency and similar projects should be done across the nation. There should be budget allocation to rebuild abandoned buildings to house the poor.

These areas must also be equipped with free access to Internet so that these communities can communicate and work online with ease.

Training on recycling
With the view of sustainable development, it is vital that the urban poor are trained on recycling products. A buyback system should be created where selected recyclables such as steel, paper, plastic, aluminium and electronic waste could be sold to those who need it.

Even though currently there are some who are in the business of recycling, they are unable to move due to pandemic lock down. The government should allocate a budget that could create an infrastructure that would encourage the recycling business among the wider poorer segment of the population.

Therefore, it’s time the government addresses inequitable distribution that comes with rapid urbanisation. There is a need for equitable distribution of economic resources between urban, semi-urban semi-rural and rural areas.

The above-mentioned suggestions should be incorporated in the upcoming Budget 2021 to ensure a holistic solution to reduce relative poverty in urban areas. This will be an antidote to the damning UN report on Malaysia’s urban poor. – October 31, 2020.

* M. Kula Segaran is Ipoh Barat MP and DAP national vice-chairman.

* This is the opinion of the writer or publication and does not necessarily represent the views of The Malaysian Insight. Article may be edited for brevity and clarity.