​PETALING JAYA: While the National Recovery Plan (NRP) has provided employers with a  roadmap, the four-stage approach has multiple effects on both large and small companies, and particularly devastating to those not allowed to operate during the lockdown. 

MEF President Dato’ Dr Syed Hussain Syed Husman J.P. said having to remain in lockdown for another 12 weeks would drastically impact most businesses across all industrial sectors and lead to increased unemployment, retrenchments, loan defaults, and bankruptcy.

“The government has a plan but in maintaining the delicate balance between saving lives and livelihoods, the lockdown should not be extended unnecessarily as this has severe consequences on Malaysia’s economy,” said Dato’ Dr Syed Hussain.

“Aside from providing financial support to bear the high cost of lockdown, there is also a need for the government to provide employers with better clarity on the details of the NRP, especially for companies in the non-essential sectors.

“Each stage of the NRP needs to be broken down and ironed out by all stakeholders including the micro enterprises. Getting the stakeholders involved is critical to get buy-in as the key to a successful plan is in its execution.

“Only by having such  granularity that we can examine the issues and make specific, targeted adjustments to improve the results.

“This needs to be done for all the four phases as having dialogue with the relevant stakeholders would allow us to focus on revitalising the economy and bring stability to all.”

He said if the lockdown scenario persists, it would set back the nation’s recovery even further with severe long-term consequences.

“Already the prolonged lockdown had caused production for international supply chain to temporarily move away from Malaysia as companies were unable to fulfil orders,” he said.

Potential investors have also delayed making commitments due to the uncertainties.”

Each of the four-phase NRP would last about two months. Phase 3 would see the reopening social sectors, including schools beginning in September, while the reopening of all economic sectors and lifting of restrictions on interstate travel is expected in Phase 4. 

For further information, contact the MEF Secretariat at 03-7955-7778 or fax 03-7955-9008 or email mef-hq@mef.org.my. 

17 JUNE 2021