FMM slams govt for ‘inappropriate use’ of emergency powers

 

The Federation of Malaysian Manufacturers says the government should use emergency powers to help businesses, not stifle them.

PETALING JAYA: The Federation of Malaysian Manufacturers (FMM) has lashed out against the government for what it says is an inappropriate use of the Emergency Ordinance (EO) against employers with regard to the minimum housing requirement.

It called on the executive branch to use its powers under the emergency to better support the business sector in order to help them stay afloat and restore investor confidence.

FMM said they were concerned about the human resources ministry’s announcement on Thursday about the laws related to foreign worker housing, which included making it mandatory for employers to move their workers to temporary housing and bear all the associated costs.

“The industry is very troubled by how the powers under the EO have been inappropriately used to force changes as well as impose harsh punishment to comply with the requirements of Act 446 (Workers’ Minimum Standards of Housing and Amenities Act 1990).”

It said the new law would cost businesses RM270 per worker, and would see the fine for non-compliance rise to RM200,000 or imprisonment, or both.

“The human resources ministry and the Labour Department are well aware of the critical challenges faced, which are beyond the industry’s control and ability to solve.

“There continues to be a critical shortage of accommodation space and a lack of cooperation and coordination from key stakeholders involved in this entire process, in particular the local authorities.”

FMM also said the ministry’s plans to delegate enforcement of Act 446 to other ministries could lead to “overzealous” enforcement driven by a lack of understanding and potential misinterpretation of the law.

“In this regard, FMM calls on the government to use the EO appropriately to facilitate public health matters and business operations, with due recognition of the equal hardship that industries continue to face in light of the pandemic.

“We also request that the enforcement efforts by the ministries and agencies with delegated powers be streamlined and are conducted according to standard guidelines and in accordance with the general requirements of the law,” it said. - FMT