SMEs benefit from wage subsidy, grateful for the initiatives

KUALA LUMPUR: For the past one year since Prime Minister Muhyiddin Yassin spearheaded the Cabinet under Perikatan Nasional (PN), much has been done to take care of the rakyat, especially those affected badly during the Covid-19 pandemic.

The government made various efforts to ensure the welfare of those affected; small and medium enterprises (SME) were particularly given utmost priority to help them sustain when the Movement Control Order (MCO) was enforced on March 18, 2020.

Among the initiatives introduced by the PN government was the Wage Subsidy Programme (WSP), which brought a ray of hope for the SME entrepreneurs and their workers.

Under the WSP, employers were rendered financial assistance as subsidy for the salaries of staff earning RM4,000 and below, thus preventing the enterprises from collapsing and workers from losing their jobs and source of income.

A total of RM13.53 billion had been channelled through the WSP 1.0, 2.0 and 3.0 as of Feb 15, 2021 to 327,908 employers, thereby helping to maintain 2.695 million jobs.

Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz had described the initiative as among the factors in reducing the unemployment rate to 4.8 per cent in November 2020 and December 2020, as compared to 5.3 per cent in May 2020.

As at Sept 30, 2020, the closing date for WSP 1.0, a total of 322,177 employers and 2.64 million employees had received benefits under the Prihatin Rakyat Economic Stimulus Package and the National Economic Recovery Plan.

As for WSP 2.0 under Kita Prihatin, a total of RM770.31 million has been channelled to 65,398 employers to enable them to continue operating and maintain 534,183 employees. — Bernama