PETALING JAYA: The Employment Act amendments scheduled to be introduced on Sept 1 should be put off until businesses are able to fully recover, says the Master Builders Association of Malaysia (MBAM).

Its president, Oliver Wee Hiang Chyn, stated that the construction industry will struggle to accommodate the additional costs incurred as a result of the Employment Act 1995 change, claiming that such costs were not budgeted for by contractors.

“The construction industry continues to deal with uncertain liabilities resulting from the Covid-19 pandemic and requires extensive time to fully recover their businesses.

“It is vital that the amendments be enforced at a later period to avoid any further additional costs of doing business,” he said in a statement.

Wee said the effects of the new minimum wage of RM1,500 would also be detrimental to the industry as employers would have to fork out more to keep their businesses running.

Despite operating at full force during the country’s transition to an endemic phase, manpower challenges have hampered the industry’s recovery process, he said, adding that this has resulted in project delays.

“The government should also look into a proper economic recovery plan for the industry,” he said.

Under labour amendments to take effect on Sept 1, there will be flexible working arrangements; an increase in overtime costs for employees with wages up to RM4,000 per month; a reduction of working hours from 48 hours to 45; 60 days of hospitalisation...

Read Full Story: https://www.thestar.com.my/news/nation/2022/08/20/defer-amendments-to-employm...