Latest news with #EmploymentAct1955
Borneo Post
4 days ago
- Business
- Borneo Post
Ad hoc holidays cripple small businesses, says DUBS Miri
Mohammad Hafidz says for many micro and small businesses, such disruptions could directly affect cash flow and the ability to maintain day-to-day operations. MIRI (July 26): The Sarawak Bumiputera Entrepreneurs Chamber (DUBS) Miri has voiced concern over the declaration of sudden or unplanned public holidays, saying such practices should not become the norm. Its chairman Mohammad Hafidz Rohani, in a statement yesterday, said unannounced holidays such as the additional public holiday on Sept 15 declared by the Federal government could place undue pressure on the business sector, especially small and medium enterprises (SMEs). 'Malaysia already has a relatively high number of public holidays compared to other countries in the region. 'Ad hoc holidays complicate operational planning, disrupt productivity, and increase costs, such as overtime pay and disruptions to production and service schedules,' he said. Mohammad Hafidz added that for many micro and small businesses, such disruptions could directly affect cash flow and the ability to maintain day-to-day operations. According to him, the Employment Act 1955 already provides clear provisions for managing public holidays, including the option to substitute days off as permitted by law. 'Any announcement of additional holidays without formal confirmation through the Government Gazette under the Holidays Act 1951 has the potential to cause confusion among employers and result in unintended legal implications,' he said. While acknowledging that additional holidays might temporarily benefit the tourism sector, he cautioned that their overall economic impact on small traders and entrepreneurs was often 'limited and unsustainable'. 'We (DUBS Miri) fully support the patriotic spirit of Malaysia Day celebrations. 'However, we also urge that love for the nation be demonstrated through initiatives that empower the entrepreneurial sector, recognise the challenges faced by micro and small enterprises, and foster a business environment that is both conducive and sustainable,' he said in the statement. He stressed that local entrepreneurs not only contributed to economic growth and job creation, but also embodied the spirit of independence, dedication, and the determination to build a better future for the country. 'Patriotism should not just be celebrated – it must be protected, understood and given space to grow in tandem with the nation's economy.'
The Star
5 days ago
- Business
- The Star
FMM calls for prompt gazette of Sept 15 holiday
PETALING JAYA: The Federation of Malaysian Manufacturing (FMM) says the government should provide legal clarity on Malaysia Day as an additional public holiday on Sept 15, warning that ad hoc holiday declarations could cost the manufacturing sector up to RM1bil in losses. In a statement, it called for the prompt gazette of the holiday under the Holidays Act 1951. 'This is critical to provide legal clarity and enable businesses to plan operations, workforce scheduling, and ensure compliance with the Employment Act 1955,' it said. On July 23, Prime Minister Datuk Seri Anwar Ibrahim had declared Sept 15 as a public holiday in conjunction with the Malaysia Day celebrations. The Human Resources Ministry subsequently stated that employers are required to observe the holiday. According to FMM, while it appreciates the spirit of commemorating Malaysia Day, any last-minute holiday declarations will severely impact industries with tightly scheduled operations, particularly in manufacturing. 'The manufacturing sector is highly sensitive to last-minute holiday declarations due to tightly scheduled production timelines, export commitments, and labour shifts,' said the organisation. It added that the additional public holiday would create a four-day disruption for many companies, especially those operating on shift-based or continuous production cycles from Saturday through Tuesday. 'Such interruptions require production lines to stop and restart, which is both costly and inefficient,' it said. Citing past estimates, FMM stated that each unplanned public holiday can result in productivity and output losses of up to RM1bil for the manufacturing sector alone. Industries most affected include those with continuous processes such as steel, chemicals, and food processing, while small and medium enterprises, in particular, might struggle to absorb the costs or reorganise replacement shifts. 'The disruptions also have a cascading effect across supply chains and logistics operations,' it stated. FMM stressed that frequent ad hoc holiday declarations undermine Malaysia's credibility and attractiveness as an investment destination. 'Policy announcements must reflect clarity, consistency, certainty, and credibility. Frequent ad hoc holiday declarations do not augur well for a country striving to achieve high-income nation status and position itself as a competitive, reliable, and attractive destination for investment. 'Investors and global buyers require predictability and stability,' it added. FMM advised employers to monitor the official gazette notification, adjust production schedules accordingly, and maintain clear communication with customers, suppliers and workers to minimise disruption.
New Straits Times
6 days ago
- Business
- New Straits Times
Manufacturers face RM1bil loss if Sept 15 holiday not formalised: FMM
KUALA LUMPUR: Manufacturers may suffer up to RM1 billion in losses if the government does not promptly formalise the Sept 15 public holiday, the Federation of Malaysian Manufacturers (FMM) cautioned as it pressed for immediate gazettement. Yesterday, Prime Minister Datuk Seri Anwar Ibrahim declared that Sept 15 would be observed as a public holiday in conjunction with Malaysia Day, with the Human Resources Ministry stating that employers must comply. However, FMM said official confirmation via a gazette notification under the Holidays Act 1951 was still pending. "This is critical to provide legal clarity and enable businesses to plan operations, workforce scheduling, and ensure compliance with the Employment Act 1955," the federation said in a statement. FMM president Tan Sri Soh Thian Lai said last-minute declarations of public holidays disrupt tightly scheduled production timelines, export commitments and labour shifts, particularly in sectors that rely on continuous operations. "Declaring Monday, Sept 15, as a holiday effectively creates a four-day disruption for many manufacturers, covering Saturday through Tuesday for shift-based and continuous operations. Such interruptions require production lines to stop and restart, which is both costly and inefficient," he said. FMM estimated that each additional unplanned public holiday could result in up to RM1 billion in productivity and output losses for manufacturers. The impact is especially severe for export-driven industries and those with continuous production lines, such as steel, food processing and chemicals. Small and medium-sized enterprises, in particular, would struggle to absorb the added costs or manage overtime and replacement shifts, the group added. "Frequent ad hoc holiday declarations do not augur well for a country striving to achieve high-income nation status and position itself as a competitive, reliable, and attractive destination for investment," it added. FMM stressed the importance of policy clarity, consistency, certainty and credibility, noting that abrupt decisions could erode investor confidence and weaken Malaysia's standing in global supply chains. While acknowledging the spirit behind the Malaysia Day celebration, the federation called on the government to expedite the official gazettement, providing immediate legal certainty and enabling businesses to mitigate operational risks effectively.
Focus Malaysia
6 days ago
- Business
- Focus Malaysia
FMM: Ad hoc holidays unproductive, creates costly, inefficient disruption for manufacturers
THE Federation of Malaysian Manufacturing (FMM) has urged the government to immediately issue the official Gazette notification confirming the status of the holiday under the Holidays Act 1951. Its president Tan Sri Soh Thian Lai was responding to a recent announcement by Prime Minister Datuk Seri Anwar Ibrahim declaring Sept 15 as an additional public holiday in conjunction with the Malaysia Day celebrations. 'This is critical to provide legal clarity and enable businesses to plan operations, workforce scheduling, and ensure compliance with the Employment Act 1955,' he stated. 'The manufacturing sector is highly sensitive to last-minute holiday declarations due to tightly scheduled production timelines, export commitments, and labour shifts.' According to Soh, declaring Sept 15 a holiday effectively creates a four-day disruption for many manufacturers whereby such interruptions require production lines to stop and restart, which is both costly and inefficient. 'Based on past estimates, each additional unplanned public holiday can result in up to RM1 bil in productivity and output losses for the manufacturing sector alone,' he continued. 'The impact is particularly severe for export-oriented industries and those with continuous processes such as steel, food processing, and chemicals. 'SMEs, in particular, will face challenges in absorbing these costs or managing overtime and replacement shifts. These disruptions also have a cascading effect across supply chains and logistics operations.' Soh further stressed that policy announcements must reflect clarity, consistency, certainty, and credibility. He noted that frequent ad hoc holiday declarations do not augur well for a country striving to achieve high-income nation status and position itself as a competitive, reliable, and attractive destination for investment. 'Investors and global buyers require predictability and stability. Sudden changes that disrupt production and supply chain commitments risk undermining Malaysia's competitiveness, especially when the nation is working hard to secure global supply chain opportunities and high-value investments,' he elaborated. 'While FMM appreciates the spirit of celebrating Malaysia Day, we strongly urge the government to expedite the official gazettement to provide immediate legal clarity and enable businesses to manage operational risks effectively.' ‒ July 24, 2025
Daily Express
6 days ago
- Business
- Daily Express
Employers must comply with September 15 holiday: Minister
Published on: Thursday, July 24, 2025 Published on: Thu, Jul 24, 2025 By: Bernama Text Size: Human Resources Minister Steven Sim speaks to reporters after officiating the Penang Human Resources Ministry Building at Weld Quay in George Town March 14, 2025. — Bernama pic PUTRAJAYA: Employers must comply with the declaration of Sept 15 as an additional public holiday in conjunction with this year's Malaysia Day celebration, said Human Resources Minister Steven Sim Chee Keong. He said employers could observe the additional public holiday and pay the regular salary, or instruct their employees to work and pay according to the public holiday rates. 'Employers can also opt to give a replacement holiday on another day if their employees are required to work on that public holiday. 'To ensure the implementation of the additional public holiday is fair and organised, the Department of Labour (JTK) is prepared to provide advisory services as well as answer any queries from employers and employees regarding the implementation of this additional public holiday,' he said in a statement, Wednesday. Sim said the Ministry of Human Resources (Kesuma) welcomes Prime Minister Datuk Seri Anwar Ibrahim's announcement that Sept 15 will be designated as an additional public holiday in conjunction with the Malaysia Day celebration. 'This announcement is good news for workers in the public and private sectors nationwide. 'This additional holiday allows all Malaysians to celebrate unity, strengthen the spirit of nationalism and appreciate the uniqueness of the formation of Malaysia as a multi-racial, multi-religious and multi-cultural country,' he said. Sim also called on Malaysians to use the long holiday for recreation, thus promoting well-being among workers and stimulating economic activities, which in turn will have a positive impact on the local economy. The implementation of the additional holiday is subject to provisions under Section 60D(1) of the Employment Act 1955 (Act 265) for Peninsular Malaysia and the Federal Territory of Labuan; the Sabah Labour Ordinance (Chapter 67), the Sarawak Labour Ordinance (Chapter 76) and the Holidays Act 1951 (Act 369) as the basis for the announcement of the official additional holiday by the Government. Employers or employees requiring further information can contact the JTKSM via its hotline at 03-8886 5192/5937, by email at [email protected], or at any nearby JTK offices. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
