Wage Subsidy Programme 2.0 avoids massive retrenchments
The Malaysian Employers Federation (MEF) has hailed the government's decision to extend the wage subsidy programme, as the move is deemed positive towards stabilising the labour market and avoiding massive retrenchments.
Commenting on the government's newly introduced PRIHATIN Supplementary Initiative Package (KITA PRIHATIN) programme, MEF president Datuk Dr Syed Hussain Syed Husman said the RM10 billion stimulus package had given employers and employees much-needed relief.
"The first phase of the wage subsidy programme was initially slated to end on Sept 30, 2020. However, with the new Wage Subsidy Programme 2.0, both employers and employees can now breathe easier.
“It has given us another three months of desired financial assistance until December," he said in a statement today.
Prime Minister Tan Sri Muhyiddin Yassin, on Wednesday, unveiled the KITA PRIHATIN programme worth RM10 billion, which includes RM2.4 billion for the Wage Subsidy Programme 2.0, to help Malaysians cope with the impact of the COVID-19 pandemic.
About 1.3 million employees are expected to benefit from the programme.
Syed Hussain said under the Wage Subsidy Programme 2.0, employers would be able to retain their employees until March next year, and that would help alleviate cash flow constraints and liabilities.
Source : BERNAMA - https://www.bernama.com/
