Jobless rate set to drop

KUALA LUMPUR: Malaysia’s unemployment rate is expected to dip below 4% following the 600,000 new job opportunities under the “job guarantee” initiative as announced in Budget 2022, says Datuk Seri M. Saravanan.

The Human Resources Minister said the workforce, especially the youths, hoped Budget 2022 could push the country towards recovery.

“I believe with an allocation of RM4.8bil to generate 600,000 jobs, especially for the locals, our unemployment rate will drop under 4%,” he told a press conference in Parliament.

Known as “Jamin Kerja Keluarga Malaysia” or “JaminKerja” (job guarantee), the initiative has a RM4.8bil allocation under Budget 2022.

Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz in his Budget speech noted the initiative would also be adopted by Socso, which aims to provide 300,000 job opportunities with an allocation of RM2bil.

Under this initiative, employers will benefit from hiring jobless Malaysians. The government will subsidise 20% of workers’ salaries for the first six months and another 30% for the following six months, subjected to jobs that offer remuneration of RM1,500 and above.

Saravanan also welcomed the RM80mil allocation to help housewives and widows in EPF and Socso contributions under Program Kasih Suri Keluarga Malaysia.

“This initiative will help affected housewives and widows who were affected during the Covid-19 pandemic,” Saravanan said.