SIP support for over 500 MYAirline employees facing termination - Sivakumar

KUALA LUMPUR - If the services of over 500 employees of a low-cost airline were terminated, then they can expect to receive the benefits of the Employment Insurance System (SIP) under the Social Security Organisation (Socso), said Human Resources Minister V Sivakumar.

He said the workers will receive the Job Search Allowance (EMP) of the SIP if their contribution records meet the eligibility requirements.

"These workers will receive income replacement for a period of three to six months while finding a new career," he said in a statement today.

On Thursday (Oct 12), MYAirline Sdn Bhd (MYAirline) through a statement said it had suspended its operations effective 6am that day and the decision was made due to financial pressure.

Transport Minister Anthony Loke also voiced his disappointment over the airlines' action which is deemed to tarnish the country's name because the sudden suspension also affected international passengers.

Elaborating, Sivakumar said Human Resources Ministry and Socso are committed and always ready to help lessen the financial burden of the low-cost carrier's employees due to the layoffs.

According to him, the ministry through Socso always monitors the latest developments to ensure all matters related to the welfare of workers are acted upon immediately. - BERNAMA