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Malaysia’s unemployment rate continue to rise up to 5.3%

Msia’s unemployment rate rises to 5.3pct

KUALA LUMPUR: Malaysia’s unemployment rate rose to 5.3 per cent in May this year compared to 5 per cent the month before.

Human Resource Minister Datuk M Saravanan said among the worst-hit sectors were tourism as well as manufacturing and services. Also badly affected, he said, were the self-employed, especially traders and small-time entrepreneurs.

Saravanan disclosed the figure in response to a question from Datuk Seri Anwar Ibrahim (PKR-Port Dickson) who had asked the government to state the unemployment rate and projections until the year-end.

Saravanan, who is also Tapah Member of Parliament, said workers are still at risk of losing their jobs and income following the Movement Control Order (MCO).

“The latest data from the Department of Statistics Malaysia shows that Malaysia’s unemployment rate rose to 5.3 per cent compared to 5 per cent in April 2020.

“DOSM estimates that the maximum unemployment rate would be in the range of 3.5 per cent and 5.5 per cent this year,” he said.

Saravanan said according to the DOSM, the economic indicator for May 2020 showed that the economy was on a recovery trajectory compared to the month before.

“Despite the negative trend in the labour force as of May 2020, this was nevertheless an improvement when compared to April 2020.

“This was the result of the implementation of the government’s various stimulus packages,” he said.

He said, in the short-term, the labour situation is expected to improve in June, while in the medium-term until the second half of the year, the labour market is expected to further solidify.

“This was proven as of June 2, when the DOSM found that around 12.7 million or 83.5 per cent of people resumed work, compared to 10.2 million or 67.2 per cent on May 17, 2020.

“The government understands the burden faced by the people and had launched stimulus packages such as the Prihatin Rakyat Economic Stimulus Package and others, which helped save more than 2.4 million jobs, alleviated cash flow woes of almost 11 million people, and lent support for more than 300,000 companies.”

To an additional question from Datuk Seri Ahmad Maslan (BN-Pontian) on job opportunities and new sectors to tackle the rising unemployment rate, Saravanan said the ministry is not allowing any new intake of foreign workers until the end of the year.

“I believe this will give the space and opportunity for local workers,” he said.

Original Source: New Straight Times Malaysia

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