WORK has a big presence in our lives. But it is seldom a subject of discussions in the media.
Of late, however, some companies are downsizing their operations to keep businesses afloat. It is about restrategising and refreshing ideas and the way forward.
Data made available by the Social Security Organisation (Socso) point to 23,697 lay-offs last year. The top three contributors were manufacturing (7,600), construction (2,064) and finance (1,799). Socso’s figures only indicate those who apply for unemployment benefits.
This year, up to Nov 6, the number has climbed to 37,260 retrenched workers. But there are reasons for it — the global downturn, for instance, decline in exports, low domestic consumption or disruptive business models, ineffective management systems or underskilled and demotivated employees.
Some companies, too, may need fewer employees due to labour-saving devices or technology. And in this era of robotics, many skills will become redundant.
Work shapes us in so many ways. It forms us, intellectually and psychologically, as one economist put it.
Take work away, these dimensions disappear. This is the formatted way of looking at things.
Change demands innovations and flexibility. Ultimately, economic hardships can make people unhappy. Also, one should not discount the social costs of being out of a job.
But the employees are not the only victims. The nation, too, will be denied of human capital. And the erosion of skills acquired over the years. These are important things that must be taken notice of. Because humans run the economy and society.
We accept that businesses should be uppermost nimble. “Be nimble, be quick” is an old Harvard University advice. It applies to all, and yes, to the media too.
This Leader is of the view that structural adjustments are necessary to strategically align the economy with new realities. The attendant despair and anxiety is a given.
A new narrative is what the nation needs this instance. About the new trajectories and sources of growth. The ground needs to crunch new numbers and data.
It is best that the storyboard is humanised. A good start is the new journey of the newly retrenched.
Socso is keen to offer assistance. The minute the retrenchment letter is issued, hurry along to Socso. It will start looking for new jobs.
In this context, there is something interesting going on across the Causeway. They call it responsible retrenchment. There, a government agency — the Taskforce for Responsible Retrenchment and Employment Facilitation — tries to find employment within six months of retrenchment.
Some 70 per cent of the retrenched have done so through the task force. Malaysia will also highlight our initiatives. This and Socso’s Employment Insurance System (EIS) that helps the retrenched cushion unemployment for six months.
New opportunities should be communicated extensively. Companies, too, can play a role by helping employees reskill for life outside. Early intervention with the EIS team will help.
As for the retrenched, they need to be careful with the compensation they receive. Whatever the amount, it needs to be invested wisely.
The money must be made to grow and not to be wasted on experimental ventures. It is in this way they can prepare for life outside.