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Government needs to spend wisely: Yakcop

Posted: 30 May 2011 10:52 PM PDT

"We are still giving subsidies, but with international crude oil prices rising exponentially, from US$39 per barrel to above US$100 per barrel, we need to adjust prices with the interest of the people in mind."

KUALA LUMPUR: Following the subsidy rationalisation plan announced yesterday, Minister in the Prime Minister's Department Tan Sri Nor Mohamed Yakcop said the government needs to spend funds wisely to sustain the country's future development.

"The reason why Malaysia has a subsidy system now is for the people to live comfortably.

"However, under current circumstances where prices are escalating, the government has its spending limits and there is a budget for subsidies," he said after launching the Northern Corridor Economic Region (NCER) Business Opportunity Showcase here today.

Yakcop said funds generated from tax collection and other forms of revenue can be better utilised to spur further development and growth in the country, for example, enhancing public infrastructure and facilities in the outskirts.

"Adjustments to electricity tariffs, announced yesterday, will have a minimal impact," he said, obviously refering to 75 per cent of the population who will not be affected by the increase.

Also present was Deputy International Trade and Industry Deputy Minister Datuk Mukhriz Mahathir who admitted the cost of power was one factor to be evaluated by companies in determining their investment destination of choice.

"Perhaps for those companies that base their viability purely on the cost of energy, maybe they will take this into consideration, but often companies will look at many other different factors before reaching a decision.

"Malaysia is still competitive but when other factors are taken into consideration, potential investors will have to factor them into their costing from now on," he said. -- BERNAMA

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Freeze on Indonesian maids end

Posted: 30 May 2011 08:08 PM PDT

2011/05/31
By Dharshini Balan and Rozanna Latiff
news@nst.com.my

KUALA LUMPUR: The two-year freeze on Indonesian maids was lifted when Malaysia and Indonesia signed a new memorandum of understanding (MoU) last night.

The MoU signing ceremony in Bandung, Indonesia, saw Malaysia represented by Human Resources Minister Datuk S. Subramaniam, and Indonesia by Labour and Transmigration Minister Muhaimin Iskandar.

According to the Indonesian Embassy's Minister-Counsellor for Information, Social and Cultural Affairs, Suryana Sastradiredja, under the terms of the MoU, which superseded the one signed in 2006, Malaysian households would now be allowed to employ Indonesian maids subject to several conditions.

Key among them -- allowing maids to receive one day off a week and to retain possession of their passports, as stipulated by international law.

"The maids, however, are free to hand over their passports to their employers for safekeeping.

"The salaries will also have to be banked into their accounts, rather than paid directly to them or to the maid's employment agent," he said, adding that this would avoid any problems between employers and employees.

The initial fees employers have to pay for maids is RM4,511. It includes RM2,711 that has to be paid by the employer and RM1,800 in the maid's salary that has to be advanced to the agency supplying the maids.

"Employers can deduct the RM1,800 from the maid's salaries on condition the deduction is not more than 50 per cent of the monthly salary (of the maid)," Subramaniam said.

Suryana said maid agencies in Indonesia would be required to send only trained maids and provide replacements if the ones they sent did not meet employers' requirements, and agents providing assurance for maids under their care.

The MoU also stated that a joint task force would be set up, comprising representatives from both countries, to monitor the situation.

In Malaysia, the task force would be made up of representatives from the Human Resources Ministry, Foreign Affairs Ministry, Home Ministry, and the Attorney-General's Chambers, while the Indonesian embassy will monitor the implementation of the MoU.

A similar joint task force would be set up in Indonesia comprising the republic's agencies and the Malaysian embassy.

Both countries have also agreed that the salaries would be determined by market forces, but Indonesia has requested that such wages should not be lower than the minimum wage in Indonesia.

Meanwhile, Muhaimin said Indonesia needed some time to make the preparations to resume sending maids to Malaysia.

"Give us at least two weeks before we allow the recruitment of maids to Malaysia," he said.

Jakarta had imposed the freeze on sending maids to Malaysia in June 2009, following numerous complaints of maids allegedly being abused by employers. Prior to the ban, Indonesia was sending about 3,000 maids to Malaysia every month.

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Kredit: www.nst.com.my

Isnin, 30 Mei 2011

NST Online: Topnews

NST Online: Topnews

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