Malaysia is one of Asia's biggest employers of foreign labour. But recently, cases of deaths, abuse and forced labour have come to light. What is going on? Who is protecting these migrant workers?
The body is also disappointed with the ministry for not having talks with all concerned stakeholders when deciding on the fund, as it felt that the idea will increase the cost of doing business.
<P>FMM said the proposal discourages efficiency
in the operation of a firm and penalises good employers and employees by having
to support the inefficiencies of irresponsible firms and indifferent workers.</P><P>In
a statement issued recently, FMM said even though the sum of RM6 per month may
be modest, there would be strong tendencies over time to extend protection to
cover more risks for longer periods and with less conditions, thus causing the
amount to rise.</P><P>On January 5 2007, Human Resources Minister Datuk Seri Dr
Fong Chan Onn was quoted by the News Straits Times as saying that the Malaysian
Employers Federation (MEF) and Malaysian Trade Union’s Congress (MTUC) had agreed
in principle to set up a retrenchment fund jointly contributed by employees and
employers. This is similar to that currently operated by Socso and the Employees’
Provident Fund.</P><P>"FMM would like to express its strong reservations
and concerns as the fund would send the nation down the slippery road of a welfare
state with a high tax regime," FMM said.</P><P>The federation also said the
fund discourages healthy corporate culture by removing the worker’s role as a
stakeholder in the company’s success and this leads to indifference towards productivity
and lack of concern for the company’s well-being.</P><P>FMM said while it welcomes
the Government’s initiative to review labour laws, the proposed scheme should
not be taken as an exchange for allowing the amendments.</P><P>It said there is
a need for labour laws to be reviewed to enhance the nation’s competitiveness.</P><P><I>Source:
http://www.btimes.com.my/Current_News/BT/Wednesday/Nation/BT604090.txt/Article</I></P>
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