CHANNELING relief fund through employers would only allow the former to “tighten” its grip over workers during an already unsettling time for everyone.
“While it was good that Prime Minister Tan Sri Muhyiddin had announced another stimulus package to help Malaysians, he fails to understand the current job market.
“Many have lost their jobs and have ventured into the informal sectors, particularly the gig economy. This is true with fresh graduates too.
“But much of the relief announced under the new stimulus is still being given to employers, not directly to workers. The Government should deliver aid directly to employees, now mostly working in the gig economy,” Parti Sosialis Malaysia (PSM) secretary general A Sivarajan told FocusM.
On March 17, Muhyiddin announced the Strategic Programme to Empower the People and Economy (PEMERKASA) worth RM20 bil, along with a new fiscal injection by the Government amounting to RM11 bil, was launched Wednesday.
Among the initiative offered was an allocation of RM700 mil to extend the Wage Subsidy Programme 3.0 for another three months on a targeted basis.
Lamenting the move, Sivarajan said the Government was still stuck in the old “employers create jobs” mindset, leaving the aid distribution at the discretion of companies.
Labour laws need revision to include gig workers
Citing an example, he said that Muhyiddin announced RM200 mil for employers and service providers who provide jobs under the gig economy.
“And RM200 will be paid to employers for every worker placed. Why can’t the Government just disburse the funds straight to the gig economy worker?” he asked.
Sivarajan also questioned the Government’s insistence on channeling funds under the Wage Subsidy Programme to employers, as many workers now are working on a freelance basis due to the economic downturn.
“As of March 5, the Government has channelled more than RM1.4 bil to fund the programme, to help our 2.7 mil strong workers. Can’t we come up with a mechanism to channel the fund straight to our workers?
“Besides, giving such power to employers could also be detrimental to employees, as the former could potentially discriminate staffers who seek the aid money by making things difficult for them,” he opined.
The PSM leader added that his concerns were not unwarranted as Social Security Organisation (Socso) Self Employment Injury Scheme Division head Azhar Md Nadzri had said that only 2.7% of those self-employed and working in the gig economy are contributing to the fund.
Sivarajan stated that this was proof that it was better for the Government to strengthen the social safety net of gig economy workers by channeling funds directly to them.
“The Human Resources Ministry should also update and amend our labour laws to include these new trends under the gig economy.
“Employers and gig economy service providers cannot be excluded from providing their workers with adequate necessities, and protected comprehensively under our laws,” he remarked. – March 21, 2021.
