KUALA LUMPUR – Employers will receive incentives for up to six months for hiring Malaysians, costing the government RM2 billion under Budget 2021.
Finance Minister Datuk Seri Tengku Zafrul Tengku Abdul Aziz, when tabling the Budget, said the Penjana Kerjaya hiring incentive programme, which is being implemented by the Social Security Organisation, aims to promote job creation amid the Covid-19 pandemic.
Under the programme, he said, the government will provide up to RM1,600 in wage subsidies from January to June for employing Malaysians, up from the current maximum of RM800.
This, he said, will benefit some 250,000 individuals.
“To encourage the hiring of disabled persons, retrenched workers and those who have been unemployed for a long period, employers will be given a total incentive of 60% (of their salaries),” said Tengku Zafrul.
“For sectors that rely highly on foreign workers, such as construction and plantation, a special incentive of 60% of their wages will be given for hiring locals, with 40% provided directly to employers and the remaining 20% to Malaysians who take up the jobs.
“For those employed under the Penjana Kerjaya programme, employers will also be able to claim up to RM7,000 for employees to undergo high-skilled programmes or obtain professional certificates.”
The existing wage subsidy programme, which provides a RM600 assistance to employers for each worker earning below RM4,000, will be extended by another three months to March.
Tengku Zafrul said the extension will be targeted at the tourism and retail sectors.
He added that the government will allocate RM1 billion for the purpose of reskilling and upskilling workers.
Additionally, Putrajaya will offer 50,000 contract jobs in the public sector and government-linked companies beginning January, with a RM700 million allocation.
Under the Short-Term Employment Programme, 35,000 of these jobs are marked for the civil service, with priority given to nurses, medical attendants, social welfare officers and substitute teachers.
In total, said Tengku Zafrul, the incentives under Budget 2021 will provide employment opportunities and training to up to 500,000 Malaysians.
He also announced the formation of a National Employment Council to be chaired by the prime minister.
“This council will coordinate various initiatives cutting across ministries and agencies that will create job opportunities, and skills enhancement and training for employees.
“The Laksana unit will be responsible for monitoring the effectiveness of all these initiatives to ensure the rakyat continue to get employment opportunities.” – The Vibes, November 6, 2020
