The newly-introduced Employment Insurance Scheme (EIS) by the government would help retrenched individuals particularly those from the private sector to start all over.
The government has introduced EIS as a social security network to help individuals who lost their jobs or are unemployed.
In the case of a private sector employee Mohd Mujahid Yusof, 27, he was jobless for more than two years after being laid off from a factory in Bangi, Selangor, in 2015.
“I returned to my village in Kelantan then…it was so hard when you were unemployed, thinking how to find the money to pay for the car, house and family expenses.
“I was jobless for two years before getting employed again, so I welcome this scheme as it will assist those who lost their jobs to find a new employment,” he told Bernama.
Mohd Mujahid, who has a science degree from the Universiti Utara Malaysia, said the Job Search Allowance offered under the EIS would assist retrenched individuals for a specified period until he has secured a new job.
“At least they will have a bit of money for a few months… looking for a new job also needs money and this is a very good move by the government,” said Mohd Mujahid, who is currently working in a private company in Kelantan.
Another private sector employee, Nur Aina Rambelan, 28, said the main risk faced when working in the private sector is that there is no guarantee of permanent employment in the company.
“Most companies adopt the concept of hiring workers on a contractual basis only, and this is our big concern — because if you are laid off, it will take several months at least to land a new job,” she said.
Nur Aina, who has a degree in communications from Universiti Sains Malaysia, said the scheme is particularly relevant to the target group and it proves that the government does not marginalise private sector employees.
“Most of the time, the initiatives announced would benefit the public sector, but this time, it is different and this means that we are not marginalised by the government to help contribute to the country’s economy,” she said.
Meanwhile, Universiti Malaysia Kelantan’s Global Entrepreneurship Research and Innovation Centre director Prof Dr Nik Maheran Nik Muhammad said the scheme would ensure the welfare of the workers is protected.
On Feb 28, Prime Minister Datuk Seri Mohd Najib Razak said the government introduced the EIS as a social security network to help individuals who lost their jobs or are unemployed.
Among the benefits provided under the EIS are the Job Search Allowance for those unemployed during the period of job search, and Early Reemployment Allowance for those returning to work early.
Others are the Reduce Income Allowance for those having more than one employer; Training Allowance based on the employee’s request and requirements; and Training Fees for appointed training providers. — Bernama