Instead of learning from Singapore to become more competitive, Malaysia is about to implement policies that will set them back another 20 years! See what happens when you don't have efficient govt like the PAP.
In recent years, Singapore under the enlightened leadership of the PAP govt has reduced retrenchment benefits to a minimum, we are told this will make us more competitive and it is for the of workers' own good not to have minimum wages, not to have retrenchment benefits and to have the floodgates of foreign imported labor opened. Our GDP has surged to 7.5% for 2006 and this cannot be bad for us. Well, Singapore has become a millionaire making machine and corporate profits is at a record high as a % of GDP. Thanks to these wonderful labor policies.
Malaysian is about to go soft on labor. Instead of squeezing their workers for every drop of juice they can produce, they are worried that globalisation will have a negative effect on low income workers and feel they have to act before someone jumps onto their LRT/railway track. Oh come on Malaysia, how are you going to compete against Singapore with such soft policies. If you don't know how to work your workers and get them to accept life without a safety net, you will never produce as many millionaires as Singapore. ....you can never smell 7.5% GDP growth for your backwater nation. Instead of learning from their advanced neighbor Singapore, Malaysian officials went to Australia & Britain to study their system. Of course, some of you cynics will say there is NOTHING to learn in the way of safety nets for low income workers from Singapore because there is NOTHING in place. Get real okay! There is plenty that Singapore does to help jobless low income workers like cutting off their utilities when they can't pay to encourage them to find a job fast. ...well whenever wages of these workers increase, Singapore makes sure they don't become complacent and lazy so our govt increase the cost of living to make sure they are motivated to continue working hard. PAP is going to increase their GST to 7% to help them.
We Singaporeans are so lucky to have an enlightened govt. One that understands how to maximise GDP growth every year on this island. Once every 5 years we see the friuts of this progress in the form of Progress Packages.
Safety net plan for retrenched workers
Retrenched workers will be able to get allowances to last them between six months to a year once the proposed Retrenchment Compensation Scheme is finalised.
The scheme, similar to Socso and EPF, will need employees and employers to contribute each month and is to act as a safety net to those retrenched until they are employed elsewhere.
Human Resources Minister Datuk Seri Dr Fong Chan Onn said both the Malaysian Employers Federation (MEF) and the Malaysian Trade Union Congress (MTUC) have agreed in principle to the scheme, and it would have to be discussed further before being implemented.
A special committee headed by ministry secretary-general Datuk Thomas George with MEF and MTUC representatives will be set up to pave the way for its implementation.
“The committee can come up with proposals and amendments to restructure our labour market to make it more competitive,” he told reporters after chairing the National Labour Action Council (NLAC) meeting and before the Ministry’s DeepaRaya celebration here yesterday.
Dr Fong added that the committee was studying how the retrenchment compensation scheme could be introduced through Socso which does not have any provision for a safety net for retrenched workers.
He said MEF and MTUC members have visited Australia and Britain to study their retrenchment compensation models.
“Their visit is also to study the changes made to their various labour laws to suit global challenges,” he said.
He hoped disputes at industrial court and labour department which took up to seven years to solve could be completed at least in one year just like cases handled by the arbitration tribunal in Britain.
Dr Fong said the MTUC and MEF would conduct road shows to promote the productivity-linked wage system (PLWS) to ensure the nation’s workforce was of international standard. - The Star -