Increasing HRDC fees is blatant daylight robbery

Increasing HRDC fees is blatant daylight robbery

Just what does the Human Resource Development Corporation think it is, forcing employers to pay even more?

From Disappointed Citizen

I refer to the letter “New HRDF fee will increase cost of doing business” by Roslan Sharif.

I fully and completely agree with the writer that the Human Resource Development Corporation or HRDC is trying yet again to hoodwink and rob employers.

Lest we forget, back in 2016, the HRDC, (then known as HRDF or Human Resources Development Fund) imposed a 30% forced contribution to a consolidated fund on all registered employers.

In November 2018, the human resources ministry discontinued the practice when it was disclosed that in June 2018 a large amount of money in the consolidated fund was used by the former management for other than its intended purposes.

It was widely reported that funds were used to pay huge salaries and bonuses to selected management staff and on junket tours for reporters and management staff.

Following the disclosure, the chief executive was removed and seven members of the board resigned; and the Malaysian Anti-Corruption Commission started investigations.

Now, four years later, it is deja vu again; and HRDC is trying its luck again.

Will they ever learn?

The money belongs to the employers, not HRDC, and yet it has the audacity to force employers to contribute RM300 per trainee for each training session. It is rude, disrespectful and impudent.

As it is, the employers are already contributing 1% of their gross payroll to HRDC as levy. On top of that, HRDC collects a 4% commission from the training providers for every training conducted based on the course fees they charge employers.

The employers are already paying huge corporate taxes besides other taxes and fees to run their businesses.

This is blatant daylight robbery and should be stopped immediately.

Just what does HRDC think it is?

This is a classic case of HRDC acting as though it knows what is best for the industries. That is far-fetched. It is the employer’s money and they know what to do with their own money as they have to answer to their shareholders and other stakeholders.

HRDC better be forewarned, and be ready for investigations and litigations to come.

GE15 is not too far off from now.

 

Disappointed Citizen is an FMT reader.

The views expressed are those of the writer and do not necessarily reflect those of FMT.

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