A coalition of more than 40 trade, business and professional associations has expressed regret over the government's decision to extend the movement control order (MCO) for another two weeks.
In a joint statement today, the coalition, Industries Unite, said the second MCO would kill businesses and leave many jobless and poverty-stricken.
In view of this, its legal adviser David Gurupatham and coordinator Irwin Cheong urged the government to lift the restriction order.
"While public health and safety are of paramount importance, we expect to see the death rate for businesses to spike over this period.
"The unemployment rate will also rise as well. This inevitably will put further stress on the economy and vital supply chains.
"Thousands of retail outlets have closed down since MCO 2.0. With its extension again, a majority of our members may never be able to recover.
"Any possible recovery is further hindered by the lack of a clear path forward," they said.
They said the biweekly extensions would do more harm than good to businesses.
"Businesses need to plan ahead, to make vital decisions, to retain or release staff, to manage cash flow, gearing and so on. There is a serious lack of confidence in the business community," they added.
"The industry requires assistance from the government in (the form of a ) moratorium on financial commitments, wage subsidies and more. These issues have yet to be addressed in this MCO," they said.
"The main issue to be addressed is a structured recovery plan with emphasis on stricter compliance with standard operating procedures (SOPs) through education, community engagement and encouragement."
The government should work with the business community
The coalition urged the government to work with the business community to come up with an immediate emergency plan to keep the country's businesses going.
For a start, the group proposed a six-to-12-month stabilisation plan followed by a three-year recovery plan.
"We strongly urge the government to lift the MCO. People may be saved from the virus but may die of poverty," they said.
The group comprises, among others, SME Association of Malaysia, Malaysian Association of Travel and Tourism Agents (Matta), Bumiputera Retailers Organisation (BRO), Yayasan Usahawan Malaysia, Akademi Usahawan Mikro (AUM), Asian Oceania Computing Industry Association (Asocio), Association of Malaysian Spa (Amspa) and Branding Association of Malaysia (BAM).
Other members are Center of Strategic Human Resources, Contact Center Association Malaysia (CCAM), Council of Asian Fashion Designers Malaysia, Hospitality Asia, Malaysia Digital Chamber of Commerce, Malaysia Hair Association and Malaysia Association of Certified Coaches (MACC).
Yesterday, Senior Minister (Security Cluster) Ismail Sabri Yaakob announced that the MCO 2.0, which was scheduled to end on Feb 4 in all states except for Sarawak, would be extended until Feb 18, with stricter SOPs.
The MCO 2.0 had been in force since Jan 13, after the country reported a four-digit surge in new Covid-19 cases for three months.
While the government allowed economic activities to be carried out and experts agreed that the second round of MCO would be less damaging to the economy, the sentiment was not shared by the business community.
They fear that more businesses might not be able to survive the MCO 2.0. - Mkini
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