Unused funds allocated: HRDF
PETALING JAYA: Having previously gone back and forth on the financial accounts of its discontinued upskilling programme, the Human Resource Development Fund (HRDF) now claims that it has allocated the unused balance of the programme’s funds to several employers’ associations and trade unions.
Previously, HRDF announced through a circular dated Sept 5 that it will be winding down the 1Malaysia Globally Recognised Industry and Professional Certification (1MalaysiaGRIP) by Oct 1 after being ordered by the government to do so.
This came about after the programme drew flak from employers over the use of 30% of their total contributions to fund the programme along with a matching grant from the government.
However, the following month, the government agency through another circular, announced that the programme has been phased out due to the full utilisation of the fund of RM200 million allotted for it.
HRDF now says that it has only used RM170,973,843.38 to train 20,874 participants, since the inception of the programme in June 2015.
When asked to account for the remaining RM29 million, HRDF’s corporate communications director G. Sashikala Devi said: “The balance of the fund had been allocated to 27 employers’ associations and unions.”
In a Nov 10 report, employers claimed that they were told that the remaining amount of the fund will be re-credited to their individual accounts.
However, HRDF has denied having agreed to such terms.