The Federation of Malaysian Manufacturers (FMM) said the abolishment of the Human Resources Development Fund (HRDF) is unnecessary, but stricter governance measures should be put in place to ensure there is no misuse of funds.
FMM president Soh Thian Lai said following the review and recommendation of the Governance Oversight Committee (GOC) on HRDF, stronger controls and governance structures should be installed to ensure there is no misappropriation or misconduct involving assets.
“It would be a hasty decision at this point to call for the abolishment of the HRDF,” he said in a statement today.
He added that an overhaul of the governance structure and controls recommended to be implemented would provide the foundation for a realignment of past wrongdoings and position the organisation for the purpose it was set up, namely to meet the human capital development and training needs of the industry.
“It should focus its efforts on spearheading the human capital development of the labour force. This is to ensure that both the existing and future workforce are prepared to meet the demand driven by the current economic and technological changes, particularly those changes and challenges brought about by the Fourth Industrial Revolution,” Soh added.