Employers urged to heed King’s advice to keep workers

Malaysian Trades Union Congress (MTUC) logo

KUCHING, May 19: The Malaysian Trades Union Congress (MTUC) has called on employers to heed Yang di-Pertuan Agong Al-Sultan Abdullah Ri’ayatuddin Al-Mustafa Billah Shah’s advice urging employers not to lay off their workers arbitrarily as they face the economic downturn due to the Covid-19 pandemic.

In a statement, MTUC secretary-general J Solomon asserted His Majesty, in making the call during his royal address when opening the third term of the 14th Parliament yesterday, once again displayed the palace’s utmost care and concern over the plight of workers, especially the B40 and M40 groups.

“MTUC wishes to record its deepest appreciation to His Majesty. In leading our elected MPs to deliver a standing ovation to the frontliners involved in combating Covid-19, he has again put the spotlight on the need to look after the welfare of workers during this current crisis.

“As such, we urge all employers to appreciate and heed the call by our beloved King for them to do all they can to retain their workers even though many industries and businesses are affected by Covid-19,” Solomon emphasised.

He added that the King has sent his message that all quarters should be willing to make sacrifices to ease the burden of the rakyat and save the country’s economy, which will hopefully strike a chord with employers in ensuring the livelihood of millions of workers.

In line with the King’s message, Solomon also called on employers and businessmen not to shirk their responsibility towards their workers and the entire nation especially those who have received financial aid from the government through the various stimulus packages.

“MTUC feels that businessmen who receive public funds to help them to keep afloat but disregard the Yang di-Pertuan Agong’s advice are committing a betrayal of public trust and treason against the King.

“In this regard, we urge the government to emulate the move by Hong Kong authorities to impose cash penalties on employers who sack workers, despite being given wage subsidies.

“Like Malaysia, Hong Kong is spending a tremendous amount of money to provide wage subsidies of 50 per cent to companies to deal with economic impact of Covid-19,” he said.

To get the first tranche of subsidies in three to four weeks, employers in Hong Kong must pledge that the number of employees on payroll between June and August are not smaller than that in March, including those on unpaid leave.

The money received by the employers must all go to the employees.

Solomon described Hong Kong’s move as a good carrot-and-stick system which should also be implemented in Malaysia, especially when more than 200,000 employers have applied for wage subsidies for 1.7 million workers under the Employees’ Insurance Scheme.

However, he cautioned that there is little oversight and transparency in ensuring the funds are used solely for the benefit of workers and that companies enjoying the subsidies will not lay off their workers or force them to take pay cuts.

“MTUC reiterates its call on the government to introduce Emergency Employment Regulations (EER) which bar employers from retrenching their staff for a specific period, following the Covid-19 pandemic.

“The government must give priority to the workers’ welfare as their commitment will be crucial in helping to revive our battered economy. Workers must not become victims of unscrupulous businessmen who opt for pay cuts and retrenchments as a quick fix to reduce costs so they can retain their profit margins,” Solomon added. — DayakDaily