'Ministries must collaborate to establish industrial training fund'

The Higher Education Ministry has been urged to collaborate with the Human Resources Ministry to create an industrial training fund to provide financial aid to interns at selected companies.

Universiti Tun Abdul Razak economist Barjoyai Bardai said the establishment of the fund could coordinate the provision of appropriate allowances to industrial trainees to cover their daily needs during their training.

“The Institution of Higher Learning can collaborate with the Human Resources Development Fund (HRDF) because companies that contribute to the HRDF can enjoy training offers that are suitable for their jobs for free.

“So, if the institute can jointly create an industrial training fund and contribute to the HRDF, the industrial training allowance will be easier to adjust and, thus, reduce the burden on students undergoing industrial training,” he told Bernama.

Yesterday, Prime Minister Anwar Ibrahim urged companies to consider giving a reasonable sum of allowance to interns to help cover their daily expenses.

Anwar said, however, the government would not set any fixed rates of payment because industrial training was not compulsory.

According to Barjoyai, interns can also be paid according to their productivity if the students can provide a return or profit to the company because the employer has carried out the responsibility to train the students.

While admitting to the high cost of living faced by students today, Barjoyai said a student would need at least RM500 a month to cover his or her needs, excluding accommodation and transportation costs depending on location.

Meanwhile, Federation of Peninsular Malay Students (GPMS) secretary-general Muhammad Asree Abdul Aziz proposed that the government provide internship wage subsidy or special tax relief to the companies involved.

He said the move would be a win-win situation for all parties given that many companies are still in the economic recovery process due to the Covid-19 pandemic.

“We understand that the cost of living continues to rise unexpectedly, and educational loans and scholarships are becoming less and less available, but students must also understand the main purpose of the internship.

“It is also necessary to think about the industry’s willingness to accept these students to be given training in their companies, but the industry also should not impose certain tasks on students to the extent of having a financial impact on them,” he said.

- Bernama