HRDF to fund skills training for youths
22 Jan 2020
Human Resource Development Bhd (HRDF), which was allocated RM30 million in the 2020 Budget, will fund skills training for youths from low-income families, Human Resources Minister M. Kula Segaran said.
This is because the collection of loan repayments to the Skills Development Fund Corporation (PTPK), which funds youth skills training, is still low.
“Loan given is RM3,000 and the monthly repayment is RM100. If their salary is RM1,500 it means 10 per cent of their salary. The recovery is difficult and we’re looking for another mechanism to overcome it by setting aside the RM30 million and putting in HRDF as a grant,” he said at a press conference after his ministry’s monthly assembly here on Tuesday (Jan 21).
According to him, the youths would be funded through the HRDF fund and is one of the mechanisms to provide more opportunities for students to pursue their education at the public and private technical and vocational training centres (TVET) nationwide.
In addition, he said HRDF would expand the levy contribution by employers from 63 to 82 employment sub-clusters in line with the expansion of Table 1 under the Human Resource Development Act 2001, which saw the number of workers to receive training increase from 2.43 million to 2.7 million.
Kula Segaran said the Human Resources Ministry would form a committee to study the proposal by the Federation of Malaysian Manufacturers (FMM) where levy from foreign workers would be put back into a training apprenticeship, and that locals would get employed and be trained by companies.
He said the ministry had proposed to amend some of the laws such as the Employment Act 1955, the Trade Unions Act 1959 and the Occupational Safety and Health Act 1994, as well as amending the Labour Ordinance (Sabah Chapter 67) and the Labour Ordinance (Sarawak Chapter 76) but relied on session of engagements with the state governments of Sabah and Sarawak.
The Ministry will also increase its international commitments by ratifying four conventions and one International Labour Organisation (ILO) protocol namely P29 (Protocol 2014 to Force Labour Convention), C105 (Abolition of Forced Labour), C188 (Fisheries Sector jobs), C190 (Violence and Harassment) and C142 (Human Resource Development), he said.
Kula Segaran said Malaysia would hand over the ASEAN labour chairmanship to Indonesia in July this year, but earlier the Ministry of Human Resources would host the ASEAN Inter Ministerial Forum on Green Jobs on April 7 and April 8.