Let companies decide on industrial training allowance, don't make it mandatory, says MEF

SHAH ALAM - The Malaysian Employers Federation (MEF) disagrees with the requirement for private companies to pay an allowance to industrial trainees instead of it being discretionary.

Its president Datuk Dr Syed Hussain Syed Husman said although no study has been held on the allowance for industrial trainees, based on employers' feedback, it is a common practice in the private sector.

"Usually, the training allowance offered to industrial trainees is between RM500 to RM1,800 per month depending on the company's ability to pay the allowance.

"Big firms usually have a strong financial position compared to MSMEs (micro, small and medium enterprises) which tend to emply industrial training programme as one of their strategies to attract talents.

"Some industrial trainees are offered permanent job opportunities following the end of the training programme if they successfully demonstrate their ability during the intership," he told Sinar.

Syed Hussain said the company does not provide training allowance based on the workload and responsibilities assigned to trainees since their duties are generally lighter compared to full-time employees.

Instead, the allowance is given as pocket money that recognises their contribution to the company.

“Industry trainees should consider training programmes as learning opportunities and not as a way to earn money. Companies usually place them in departments that suit their fields of study and related qualifications.

"MEF also believes that the government needs to give discretion to employers to determine the placement of industrial trainees because companies know better the skills and talents they need.

"Employers assume an important duty when participating in industrial training programmes.

"It is an additional cost to them because the industrial training allowance and other costs costs increases the overall expenses for the organisation," he said.